The Fellow at Fitz apartment complex at 12600 E. Colfax Ave. in Aurora. (Instagram)
Executives at a bankrupt general contractor have been accused of stealing more than $1 million from a 400-unit apartment project just east of the city.
The Fellow at Fitz was completed last year at 12600 E. Colfax Ave. in Aurora. Anton Development, based in California, developed the seven-story building with 413 units.
The general contractor for that project was Martines Palmeiro Construction, one of this area’s major apartment builders before its unexplained closure and Chapter 11 bankruptcy this spring. The company, which had revenue of $60 million last year — down from $193 million in 2022 and $183 million in 2023 — owes nearly $21 million to 225 subcontractors and vendors, according to bankruptcy filings.
CEO Michael Martines owns 70% of Martines Palmeiro; the remainder is split between Chief Financial Officer Tony Lajimodiere and Vice President Bin Lu. (Cory Palmeiro, the firm’s other namesake, says he sold his interest in the company three years ago.)
Anton faults Martines and Lajimodiere for financial problems at Fellow at Fitz.
In a lawsuit filed May 29, the developer accuses the CEO and CFO of conspiring to steal and defraud it of $1.1 million. Anton seeks more than $3 million from the duo.
“This lawsuit is an attempt by Anton Development to circumvent the (bankruptcy) court system while trying to intimidate, bully and smear the named individuals by using inflammatory and misleading language to describe a contract dispute,” Martines and Lajimodiere say.
Anton alleges that Martines and Lajimodiere repeatedly requested payments on behalf of subcontractors last year, then kept the money for themselves. That caused subcontractors to file mechanic’s liens on Fellow at Fitz and sue to foreclose on those liens, the developer says.
“As a result, (Anton) has had to pay one or more of the subcontractors separately, and in some cases twice, in order to release the property from any claims,” its lawsuit states.
“Martines and Lajimodiere intentionally, unlawfully and improperly conspired to submit fraudulent pay applications for the purpose of misrepresenting that any funds remitted to Martines Palmeiro Construction would be used to pay subcontractors,” it goes on to say.
In the bankruptcy case, Anton is asking Judge Thomas McNamara to let it subpoena business records from Martines Palmeiro Construction. Anton claims it is owed $5.9 million.
But Martines and Lajimodiere say Anton owes their company money, not the other way around.
Tony Lajimodiere (LinkedIn)
“Anton currently owes the defendants’ business millions of dollars in unpaid accounts receivable and contract disputes,” they wrote in a statement sent by their firm’s attorney Monday.
“The defendants intend to vigorously defend this unjust claim and fully pursue the existing counterclaims through the bankruptcy to ensure subcontractors and vendors are paid in full,” that statement explains, “whereas Anton is attempting to enrich itself and its partners at the expense of Mr. Martines, Mr. Lajimodiere and the many subcontractors on the project.”
Martines and Lajimodiere are represented by Jeffrey Weinman, a bankruptcy attorney at Allen Vellone Wolf Helfrich & Factor in Denver. Anton is represented in the case by lawyers Matthew Rork, Kylie Lovell and Alexandre Touboul with Fairfield & Woods, also in Denver.
The Fellow at Fitz apartment complex at 12600 E. Colfax Ave. in Aurora. (Instagram)
Executives at a bankrupt general contractor have been accused of stealing more than $1 million from a 400-unit apartment project just east of the city.
The Fellow at Fitz was completed last year at 12600 E. Colfax Ave. in Aurora. Anton Development, based in California, developed the seven-story building with 413 units.
The general contractor for that project was Martines Palmeiro Construction, one of this area’s major apartment builders before its unexplained closure and Chapter 11 bankruptcy this spring. The company, which had revenue of $60 million last year — down from $193 million in 2022 and $183 million in 2023 — owes nearly $21 million to 225 subcontractors and vendors, according to bankruptcy filings.
CEO Michael Martines owns 70% of Martines Palmeiro; the remainder is split between Chief Financial Officer Tony Lajimodiere and Vice President Bin Lu. (Cory Palmeiro, the firm’s other namesake, says he sold his interest in the company three years ago.)
Anton faults Martines and Lajimodiere for financial problems at Fellow at Fitz.
In a lawsuit filed May 29, the developer accuses the CEO and CFO of conspiring to steal and defraud it of $1.1 million. Anton seeks more than $3 million from the duo.
“This lawsuit is an attempt by Anton Development to circumvent the (bankruptcy) court system while trying to intimidate, bully and smear the named individuals by using inflammatory and misleading language to describe a contract dispute,” Martines and Lajimodiere say.
Anton alleges that Martines and Lajimodiere repeatedly requested payments on behalf of subcontractors last year, then kept the money for themselves. That caused subcontractors to file mechanic’s liens on Fellow at Fitz and sue to foreclose on those liens, the developer says.
“As a result, (Anton) has had to pay one or more of the subcontractors separately, and in some cases twice, in order to release the property from any claims,” its lawsuit states.
“Martines and Lajimodiere intentionally, unlawfully and improperly conspired to submit fraudulent pay applications for the purpose of misrepresenting that any funds remitted to Martines Palmeiro Construction would be used to pay subcontractors,” it goes on to say.
In the bankruptcy case, Anton is asking Judge Thomas McNamara to let it subpoena business records from Martines Palmeiro Construction. Anton claims it is owed $5.9 million.
But Martines and Lajimodiere say Anton owes their company money, not the other way around.
Tony Lajimodiere (LinkedIn)
“Anton currently owes the defendants’ business millions of dollars in unpaid accounts receivable and contract disputes,” they wrote in a statement sent by their firm’s attorney Monday.
“The defendants intend to vigorously defend this unjust claim and fully pursue the existing counterclaims through the bankruptcy to ensure subcontractors and vendors are paid in full,” that statement explains, “whereas Anton is attempting to enrich itself and its partners at the expense of Mr. Martines, Mr. Lajimodiere and the many subcontractors on the project.”
Martines and Lajimodiere are represented by Jeffrey Weinman, a bankruptcy attorney at Allen Vellone Wolf Helfrich & Factor in Denver. Anton is represented in the case by lawyers Matthew Rork, Kylie Lovell and Alexandre Touboul with Fairfield & Woods, also in Denver.
