War Record Does Not Prevent Disbarment For Fraud Conviction

An attorney convicted of federal fraud offenses was disbarred by the New York Appellate Division for the First Judicial Department.

Respondent’s conviction stemmed from his involvement with others in a scheme to defraud Electronic Data Systems, Inc. pursuant to a stock purchase. On November 20, 2006, respondent was sentenced to 48 months of incarceration; three years of supervised release after his release from prison, which included confinement in a half-way house; directed to pay $12,799,795 in restitution; and a $1,200 assessment was imposed.

He was suspended as a result of the conviction in 2006.

The United States Court of Appeals for the Second Circuit affirmed the conviction in 2008.

At the disciplinary hearing

… a sanction hearing was held before a Referee. Respondent testified on his own behalf and called a character witness. Although he acknowledged that the issue of his guilt was not before the Referee, he professed his innocence of the crimes he had been convicted of, specifically stating that he disagreed with the jury’s verdict. Respondent also recounted his educational and professional history, including his leave of absence from law school in the late 1960’s to serve in Vietnam, where he was wounded and received several decorations, including the Bronze Star. He was honorably discharged in 1970, and received his J.D. in 1972, an LLM in Taxation in 1979 and a Certified Public Accountant license in 1980.

Respondent testified that he is the father of two adult children, one of whom has a rare neurological disorder that severely affects his mobility and daily functioning, and which respondent believes is related to his own exposure to Agent Orange when he was in Vietnam. Respondent’s son resides with his parents and is dependent upon them for care and support. Respondent further testified that he has established, and raised millions of dollars for, a fund to support medical research to discover a cure for his son’s illness. Respondent also attributes his own health problems to Agent Orange exposure. Respondent also testified that during his incarceration his daughter suffered severe injuries in an automobile accident which required extensive surgery and rehabilitation.

The arguments below focused on sanction

The Referee issued a report recommending a five-year suspension retroactive to the date of respondent’s interim suspension. A Hearing Panel convened to review the Referee’s report. The Committee argued that the Referee’s report should be disaffirmed insofar as it recommended a retroactive five-year suspension and that respondent should be disbarred retroactive to October 19, 2006 (the date of his interim suspension); respondent again urged a retroactive five-year suspension.

The Panel disaffirmed the Referee’s recommended sanction of a retroactive five-year suspension and recommended that respondent be disbarred. The Panel noted that notwithstanding the mitigating circumstances, respondent’s conduct was not a single, uncharacteristic lapse in judgment, but rather a deliberate and sustained participation in a conspiracy that lasted three years. It further pointed to the facts that respondent did not claim that family tragedy or financial pressure prompted him to misbehave, and, moreover, that he failed to acknowledge the basis for his conviction or express even a modicum of remorse.

The court ordered disbarment effective in 2006.

Wonder why this took nine years.

The Washington Post reported a lawsuit arising from dealings between the attorney and sons of Vice President Biden. (Mike Frisch)