Mortuary Abuse Case Nears End : Courts: Suit alleges variety of misdeeds by Pasadena crematory. Final approval of $15.4-million plan expected next month.

A judge has tentatively approved a $15.4-million settlement in a lawsuit against the former owners of a Pasadena mortuary and crematory who were accused of commingling remains, removing gold teeth and selling organs without the permission of relatives, attorneys in the case said Thursday.

Los Angeles Superior Court Judge Barnet M. Cooperman will consider final approval at a Feb. 19 hearing on the plan, which has been endorsed by attorneys for the owners and the relatives who filed suit. Under the settlement, close relatives of those who were cremated could apply through May 1 for a portion of the settlement.

“We think there are 16,000 to 20,000 potential families involved, primarily in Southern California,” said William Bernstein, a San Francisco attorney representing relatives who filed suit after the alleged cremation abuses were made public.

Under the proposal, close relatives will be able to seek compensation for cremations that took place between Jan. 1, 1980, and Jan. 20, 1987, Bernstein said. Legal notices were published this month, seeking public comment on the proposed payout.

The consolidated lawsuit targeted the Pasadena Crematorium, Coastal Cremations, Oscar’s Ceramics and other affiliates of the now-closed Lamb Funeral Home.

Under the proposed settlement, the owners of these businesses will pay about $5.3 million. The remaining funds will come from about 100 Southern California mortuaries that contracted with the Pasadena firm for cremations, attorneys involved in the case said.

“We expect that the mortuary defendants will be more sensitive to this issue in their future referrals,” Bernstein said. “We allege that they knew or should have known about this conduct and that they failed to investigate.”

The lawsuits resulted from a funeral industry scandal that came to light in 1987. Investigators alleged that the operators of the Lamb Funeral Home--Jerry Sconce, his wife, Laurieanne Lamb Sconce, and their son David Sconce--mishandled remains while trying to corner the cremation market with bargain prices.

The probe led to a state law that makes it easier to enforce regulations at crematories.

Criminal charges are pending against Jerry Sconce, Laurieanne Sconce and David Sconce.

The Sconces, who remain free on bail, now live in Arizona, their attorney said.

In an unrelated case, Ventura County authorities charged David Sconce with murdering business rival Timothy Waters by oleander poisoning, but the charges were dropped after tests found no oleander in Waters’ remains.