UPDATE: The developer of the Kelowna Mountain project has made good on his threat to counter sue one of the investors in the controversial development.
Mark Consiglio’s legal action, through his numbered company, was filed Wednesday.
It accuses West Kelowna businessman Rick Dowding and his numbered company of over charging interest on the mortgage debt.
Consiglio is claiming breach of contract and unjust enrichment and is seeking $10-million in damages.
It could take years for the three civil suits to wind their way through the courts.
KELOWNA — The Kelowna Mountain development is under a mountain of mortgage debt according to two separate law suits filed in BC Supreme Court.
The petitioners are several lenders who between them claim they are owed $14.72 million in defaulted mortgages.
Even if successful in court, the lenders are not likely to recover the amount they seek as BC Assessment pegs the 2014 value of Kelowna Mountain’s land and buildings at $7.57-million.
Those improvements include a large Welcome Center, an amphitheatre, suspension bridges and ski lift in what is billed an agri-tourism attraction.
Responding to one of the law suits in a written statement to Global Okanagan, developer Mark Consiglio says out-of-court negotiations continue with the lender, a numbered Alberta company.
Consiglio says if an amicable agreement is not reached, “Kelowna Mountain will be forced to quash the dubious claim and seek damages suffered as a result of the grossly erroneous action. Kelowna Mountain refuses to be bullied by anyone, including a lender for undue millions of dollars.”
Consiglio did not respond to requests for comment on the other law suit.
No court dates have been set.