A Friend Named Aristotle

From the Ohio Supreme Court web page

George  Z. Pappas of Urbana will serve a two-year suspension for multiple rules  violations after a federal felony conviction for making false statements to  federal authorities. The Ohio Supreme Court ruled in a 6-1 per curiam decision  to accept the recommendation of the Board of Commissioners on Grievances  and Discipline of a two-year suspension. Contrary to the board’s  recommendation, the court declined to grant Pappas any credit for the time he  has already served under his interim felony suspension, which the court imposed  on August 22, 2012.

In 2004, Pappas agreed to falsely  claim ownership of the Columbus law firm owned by his law school classmate and  best friend, Aristotle Matsa, who wanted to prevent his wife from getting the  firm’s records during a divorce. What Pappas did not realize was that Matsa was  involved in a tax-fraud scheme that became part of an investigation by the Internal  Revenue Service and the U.S. Department of Justice. During the investigation  and under oath to a federal grand jury, Pappas repeatedly stated that he was  the owner of Matsa’s law firm. Pappas eventually cooperated with the federal  government’s investigation into Matsa and agreed to a plea deal for making  false statements. Pappas was sentenced in June 2012 by a federal judge to  probation for a year, including four months of home confinement.

Due to mitigating circumstances, including that  Pappas did not financially benefit from misrepresenting his ownership of the  law firm and that he eventually made “a good-faith effort to rectify the  consequences of his misconduct,” the Supreme Court agreed to the two-year  suspension but decided against granting Pappas any credit for the time he has  already served under his interim felony suspension.

Joining the majority were Chief  Justice Maureen O’Connor and Justices Paul E. Pfeifer, Judith Ann Lanzinger, Sharon  L. Kennedy, Judith L. French, and William M. O’Neill.

Justice  Terrence O’Donnell filed a dissenting opinion stating that Pappas should be  disbarred.

“The  egregious conduct Pappas engaged in, particularly with respect to IRS agents,  and his testimony before a grand jury and representations to the Department of  Justice adversely affect the administration of justice,” Justice O’Donnell  wrote. “In my view, a two-year suspension with no credit for time served under  the interim felony suspension is not an appropriate sanction.”

Pappas  had also been sanctioned and suspended before for failing to comply with  continuing legal education requirement and failing to register.

2013-1625. Disciplinary Counsel v. Pappas, Slip  Opinion No. 2014-Ohio-3676.

(Mike Frisch)