Login  /  Register  | 3 premium articles left before you must register.

Records show Megos facing foreclosures

By Claire Bessette

Publication: The Day

Published October 06. 2012 4:00AM
Businessman in Norwich also has seven criminal cases pending

As criminal court proceedings continue against Norwich businessman Zane Megos for allegations that he took deposits and advance rental payments for properties in Norwich and New London that never became available, land records show that he has lost one building to mortgage foreclosure and faces two additional foreclosures on other buildings.

Seven pending criminal cases against Megos were continued to Nov. 6 in New London Superior Court Friday along with four new motor-vehicle charges stemming from a Sept. 19 arrest in Norwich.

Megos, 55, of 31 Dellwood Road, Norwich, faces one count of second-degree larceny, two counts of third-degree larceny and three counts of fourth-degree larceny by Norwich police in separate cases. Megos also faces third-degree assault and breach of peace charges by Norwich police stemming from an altercation with one of the alleged larceny victims who had confronted Megos to ask for his deposit back.

The combined total in the larceny cases is $17,375 in rent deposits.

As a condition of his release, Megos may not accept any security deposits or rent.

On Sept. 19, Norwich police charged Megos with evading responsibility, driving an unregistered motor vehicle, driving without minimum insurance and failure to drive right. Police said Megos allegedly hit a parked car and fled the scene and then parked facing the wrong direction on a downtown Norwich street.

Meanwhile on Craigslist, Megos' companies continue to advertise Norwich apartment houses for rent or for sale, including a Greeneville house at 75 Fourth St. that is involved in some of the larceny cases. The houses are owned under various company names and several also are involved in new mortgage and tax foreclosure actions, according to filings on the Norwich land records.

On Sept. 14, a New London Superior Court judge approved Constitution State Mortgage Co.'s foreclosure on the condemned apartment house at 25 Rogers Ave. in Norwich, owned by Megos' DECO Drive LLC. After initially ruling in favor of the mortgage company, the judge denied Megos' request to reopen the case, saying the property was valued much higher than estimated. Constitution State objected to that claim.

A second condemned apartment house at 75 Fourth St., owned by Meyers & Bailey Investment Co., has been undergoing extensive renovations in recent months, but work is not yet complete, Norwich Assistant Building Official Greg Arpin said.

Arpin said he went to the house Thursday to check on progress and found the front porch and stairs not completed, guardrails and handrails not yet installed and the ceiling not complete.

"They definitely have more work to do there," Arpin said.

A Craigslist ad for the property posted on Sept. 10 said the apartments would be ready by Sept. 30. A new ad posted on Oct. 1 said apartments at the house would be ready by Nov. 1. In May, the five-unit house was offered on Craigslist for sale for $199,900 with the ad saying it "meets all local codes."

The Greeneville house and other properties owned by companies associated with Megos also are subjects of recent foreclosure actions by two individuals who had granted mortgages on the buildings. One building also faces tax foreclosure action by the City of Norwich.

In August, Howard Goldstein of Stamford filed a mortgage foreclosure suit that encompassed mortgages to Smithfield Associates - with Nathan Megos listed as the manager and Zane Megos' business partner Bishop Taylor as the company agent and Megos' 31 Dellwood Road address - Meyers & Bailey Investment Co., and Taylor as an individual.

The foreclosure said Goldstein's loan of $109,000 was secured by mortgages on 61 W. Coit St., New London, owned by Smithfield Associates, another $109,000 with a mortgage on 59 Broadway, Norwich, owned by Taylor, and 75 Fourth St., owned by Meyers and Bailey.

Edward Cohen of West Hartford in July filed a mortgage foreclosure suit against Taylor and Megos for a $50,000 mortgage on 59 Broadway. The City of Norwich also filed for a tax foreclosure against 59 Broadway on Aug. 15 for more than $4,700 in back taxes plus interest.

c.bessette@theday.com

Town News

Visit Zip06
Submit Your:  Submit Your News Submit Your Photos Submit Your Events
Most Recent Poll
How would you assess the importance of the first presidential debate performance?
It's a clear indicator that this will be a close election.
15%
Romney's on a roll, has the momentum and will capitalize on Obama's vulnerable points.
44%
One debate loss does not an election victory make.
41%
Number of votes: 951

No current items found