Owner of Watertown apartment complex ordered to pay $16.3 million in court case
Jul. 26—ROCHESTER — A Rochester developer, whose company owns a Route 202 apartment complex in the town of Watertown, has been ordered to pay $16.3 million in restitution to resolve civil and criminal charges against him.
Developer Robert "Bob" Morgan was once accused of mortgage fraud reaching upward of $500 million, but a federal judge on Friday sentenced him to no jail time, according to the Rochester Democrat and Chronicle.
Mr. Morgan pleaded guilty to malfeasance with a single loan, according to the Democrat and Chronicle.
The investigation had originally been described as one of the largest mortgage fraud cases ever in the state.
The case, however, fell apart after the prosecution's tactics were called into question. Prosecutors were criticized for mishandling evidence against the defendants, so they were forced to offer plea bargains.
Mr. Morgan's company owns the 394-unit Autumn Ridge townhouse complex, which was completed in 2016 when the area needed housing for Fort Drum soldiers.
The company planned to construct another apartment complex across the street from the Route 202 property, but it never went forward with the second project.
His son, Todd, and two other Morgan company officials had pleaded guilty to misdemeanor bank larceny in plea agreements that included probation and no jail time. Previously, three other Morgan officials pleaded guilty to fraud.
