SCOTT COUNTY, Ky. (LEX 18) — A proposed distillery project in Scott County is facing mounting financial troubles as liens and lawsuits pile up against Limestone Farms Distillery Company, with unpaid bills potentially totaling as much as $5 million.
The company planned to construct a brand new distillery on Paynes Depot Road in Scott County, but the project has yet to get off the ground. Several businesses have filed liens against the company for unpaid bills, according to documents filed with the Scott County Clerk's Office.
The liens are tied to entities owned by Darin Dillow, who records indicate owes money for construction and services done at his personal property on Soards Road, where Dillow advertises bourbon tastings in a barn.
The largest lien comes from the project's general contractor, KTF Group LLC, which filed a $2,218,125.54 lien against the property. In addition, Woodford Excavation & Transport filed a lien for $1,261,733.12 for work done to clear the property on Paynes Depot Road.
Thoroughbred Engineering Company has also filed a lien for $741,722.89 for unpaid design and engineering services.
Additional liens have been filed for work completed at Dillow's personal property, including a $786,674.22 lien from the general contractor for work completed in April and a roofing company's mechanics and material lien of more than $36,000 for work completed in October.
Several company owners said that the unpaid bills are affecting their ability to pay their employees and subcontractors who have their own bills and families to support.
Dillow's attorney Jason Morgan released a statement regarding LF Heritage Distilling's unpaid bills:
LF Heritage Distilling is working through its legal counsel to respond to the liens associated with the projects' real property and other legal challenges. LF Heritage Distilling, its owners, its construction and financing partners, and local community leaders are working hard to bring the Distillery to the Georgetown and Scott County local communities. The planned development along Paynes Depot Road and McClelland Circle is more comprehensive than the Distillery project, alone. It includes a variety of mixed uses, and its completion will serve as an economic boon for the local region and Commonwealth. LF Heritage Distilling remains committed to satisfying its contractual obligations to its partners and moving forward with the overall development in short order. Otherwise, LF Heritage Distilling cannot comment further on pending legal matters." "The planned development is more comprehensive than the Distillery project, alone, and it includes a variety of mixed uses," the statement said. "The company remains committed to satisfying its contractual obligations to its partners and moving forward with the overall development in short order.
Court records show the company has three separate mortgages totaling nearly $9 million.