Number
020399
Version
SUBSTITUTE 1
Reference
Sponsor
CHAIR
Title
Substitute resolution approving and authorizing stipulation with Ajit Walia ("Walia") concerning in personam liability for 1990-1997 taxes against 2877 North 35th Street.
Analysis
Resolution approves and authorizes stipulation between City and Walia pursuant to which Walia agrees to entry against him of an in personam judgment for $17,759.37 for back taxes (1990-1997) against 2877 North 35th Street, and City accepts $10,000 to compromise and satisfy that judgment, and City further approves and authorizes a deduction netted out from that $10,000 to pay Kohn Law Firm's fees incurred with respect to the collection.
Body
Whereas, The property is on the City's do-not-acquire list as it is suspected of being a brownfield and environmentally contaminated; and
Whereas, According to the City's outside collection attorney, the Kohn Law Firm ("Kohn"), (1) Walia was sued for only the 1990-1997 back taxes because he sold the property in 1998 to a corporation (Briarwood Assoc. Inc.) ("Briarwood") that is now defunct and assetless; (2) the property is vacant land, and, for 2002, was assessed at only $2,200; and (3) if the City does not approve the stipulation and accept the offered $10,000 lump sum payment from Walia to settle the judgment, Walia's financial condition and circumstances raise concern about City being able to collect against him; and
Whereas, If the City does approve the stipulation and accept the $10,000 payment offered, however, the City still retains its rights with respect to the 1998-2001 back taxes, including the right to bring in rem property tax foreclosure against the property; now, therefore, be it
Resolved, That the City hereby approves and authorizes: the "stipulation and order for judgment" ("Stipulation") attached to the April 24, 2002 letter attached to the file as Exhibit A; the compromise of the City's judgment as contemplated by the Stipulation; and, to pay Kohn, the netting out of Kohn's fees of $2,153.58 against the $10,000 Kohn will collect and remit to the City; and, be it
Further Resolved, That the City approves and authorizes: Kohn filing the Stipulation with the Court so that the agreement therein may be carried out; and, be it
Further Resolved, That if the Court does approve and sign the Stipulation, when Kohn transmits the $7,846.42 to the City ($10,000 payment less Kohn's fees of $2,153.58), that $7,846.42 be deposited into the delinquent tax fund per Milwaukee Code of Ordinances §304-30; and, be it
Further Resolved, That the Comptroller and Treasurer are authorized to take such actions as are appropriate to eliminate the 1990-1997 property-tax-receivable balance from the Treasurer's records and the corresponding recievable balance for those delinquencies in the delinquent-tax fund (charging against that fund the shortfall associated with the compromise and with netting out Kohn's fees).
Requestor
City Attorney
Drafter
City Attorney
Gregg C. Hagopian
6/25/2002
53843