Dog track sued in $4m loan feud

Adviser says he’s owed

A financial adviser who made a $4 million wager on Wonderland in Revere has yet to see his investment pay off, according to a lawsuit.

E. Mark Noonan, who runs Alouette Capital in Boston, arranged the loan in 2005 for the realty company that controls Wonderland Greyhound Park and the adjacent commuter parking lot, to save the business “from collapse,” according to court records.

“To this day, although Mr. Noonan’s loan matured and should have been repaid in full over a year ago in September 2007, he has not been paid a dime,” the suit states. The complaint was originally filed in Suffolk Superior Court in December but moved to federal court this week.

Noonan, who served as an investment banker and financial adviser to Wonderland since the mid-1980s, claims the company has the means to repay the loan. His suit cites the parking lot’s annual revenue of up to $700,000 as well as payments from a partnership with Suffolk Downs, which secured an option to purchase Wonderland in August.

Patrick Dinardo, a lawyer for Wonderland and other defendants, did not deny that Noonan is owed the money but said the claims “have no merit.” He declined further comment.

In a counterclaim, Wonderland seeks unspecific damages from Noonan alleging that his “interference with the business and contractual relationships” between the defendants violates the state laws on unfair business practices. The counterclaim says Noonan is “motivated by a desire for unjust and illegitimate personal financial gain.”

Noonan, who lives in Lexington, and his attorney could not be reached yesterday.

Wonderland’s parent company, the Westwood Group - owned by Richard Dalton and Charles Sarkis, who are named as defendents in the case - ran into legal trouble in 2003 because of previous financing provided by Noonan.

Westwood agreed to a $10,000 settlement and consent order with Secretary of State William Galvin for allegedly failing to properly disclose loans from Noonan to the company and Sarkis, according to Galvin’s office and a regulatory filing by Westwood.

Boston Herald