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A federal judge has dismissed a lawsuit filed by a Worth man against the municipality, accusing it of a “campaign of harassment” and seeking $16.5 million in damages after the village demolished his home.

The dismissal of the lawsuit, filed under the federal Racketeering Influenced and Corrupt Organization Act (RICO), handed Robert Stewart, 62, yet another setback in his 10-year legal battle with village officials and neighbors over the castle-like house.

The federal bankruptcy judge’s ruling said Stewart’s lawsuit did not belong in bankruptcy court because the court did not handle cases involving claims of criminal violations of the federal racketeering law.

According to attorneys for Worth, the racketeering law involves “criminal sanctions with civil liabilities.” The attorneys said that while private citizens can make allegations of racketeering violations, such allegations are usually made by law enforcement agencies.

Stewart, who filed for bankruptcy earlier this year after exhausting his funds trying to build his Tuscan-Greek-Roman-style mansion, filed his lawsuit on Aug. 18.

Efforts to reach Stewart for comment were unsuccessful.

Stewart claimed he was forced to spend $70,000 in legal fees to defend himself against the village’s “campaign of harassment.” He also claimed his fight to prevent the village from demolishing his house, in the 7300 block of West 110th Street, cost him his health and his marriage.

At the time the suit was filed, Stewart contended the $16.5 million he sought in damages was needed to cover his legal and medical expenses and the cost of repairing his house to bring it up to code.

Defendants named in the lawsuit included Worth Mayor James Bilder; the law firm of Odelson & Sterk, which represented the village; and Cornelius and Mary Lode, who lived next door to Stewart’s half-finished house.

After a lengthy legal battle with the village over building code violations in Cook County Circuit Court, in August Stewart lost his bid to prevent his home’s demolition. The 7,000-square-foot castle was demolished Sept. 11.

However, Stewart is expected to pursue his Circuit Court complaint claiming that the village illegally demolished a detached garage and seized property in the garage.