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The Honolulu Advertiser
Posted on: Wednesday, February 6, 2002

Cemetery pagoda threatened

By Walter Wright
Advertiser Staff Writer

The operator of a landmark Honolulu cemetery, whose buildings are modeled after two famous temples in Japan, has filed for bankruptcy and may be forced to demolish an imposing three-story pagoda just off Pali Highway.

The Sanju Pagoda replica at the Honolulu Memorial Park cemetery in Nu'uanu has been deteriorating.

Bruce Asato • The Honolulu Advertiser

The problem has also raised questions about maintenance of the cemetery off Craigside Place, possibly moving some remains from the pagoda, and uncertainty for families who had planned to use niches there.

News of the Dec. 28 Chapter 11 bankruptcy filing by Honolulu Memorial Park caused more than 200 owners of plots and niches in the Nu'uanu Valley property to swamp a creditor's meeting last month.

But company officials say only "a small number" of people owning unused niches in the distinctive pagoda structure may be affected. The entire cemetery contains about 4,000 spaces.

Another meeting of creditors has been scheduled for 2 p.m. Friday at the U.S. Bankruptcy Court at 1132 Bishop St., Suite 606.

Attorney Jerrold K. Guben, representing the company, said it doesn't have the $1 million that could be required for repairs if the pagoda building is to be saved.

He said he doubts that the Honolulu Memorial Association, the nonprofit company created to care for the cemetery in perpetuity, has the money to make the repairs either.

The association's attorney could not be reached.

Erected in 1966 as a reinforced concrete replica of the Sanju Pagoda in Nara, the tower is beginning to lose decorative elements such as pieces of rafter that have fallen away from the roof.

That problem is caused by rusting of steel reinforcing bar in the structure, resulting in spalling of concrete that breaks away when the re-bar expands, Guben said.

Pieces of the pagoda's roof have fallen off, prompting concern that visitors may be injured by falling concrete.

Bruce Asato • The Honolulu Advertiser

The entry and first floor of the pagoda now are covered by temporary scaffolding and plywood to protect visitors from any falling concrete. A two-foot chunk of concrete rafter sits on a railing as evidence of the danger.

Wallace Moriyama of Honolulu, a 93-year-old retired painter who bought eight niches in the pagoda as an investment after it opened in 1966, is resigned to the possibility he will lose some of his $8,000 stake, but said he hopes the bankruptcy will result in some recovery.

"They are saying the niches that are already in use in the pagoda will be relocated to another place," said Moriyama. He said he felt owners of unused niches should also be provided with niches elsewhere.

The company listed assets of $815,932, including a small office building, several unsold plots and niches, and $60,000 in cash.

Monthly income is about $2,000, and monthly expenses are about $11,000, the filing said.

Deputy Attorney General James Nagle, whose office represents the state's licensing agencies in the Department of Commerce and Consumer Affairs, said he has been requesting additional information from the company and the association since December.

He said the city inspected the pagoda at the state's request, after the state learned the structure could present safety problems.

Nagle said state law generally attempts to assure buyers of cemetery plots and niches that graves and memorial buildings will be maintained, by requiring creation of a perpetual care association with adequate finances.

Harold Lewis, superintendent of the O'ahu Cemetery in Nu'uanu, said state and federal laws require that a certain portion of the cost of a plot, niche or crypt be placed in an irrevocable trust fund, administered by a trustee or board of trustees. The money may only be used for the perpetual care, maintenance and upkeep of cemetery grounds and facilities.

But Lewis said consumers should inquire about the status of a prospective cemetery's trust fund, and the on-going maintenance program.

He said he believed the Honolulu Memorial case was uniquely related to the deterioration of the pagoda structure, and that problems with perpetual care funds did not appear to be common in Hawai'i.