With All Deliberate Speed

A District of Columbia Hearing Committee has found that an attorney intentionally misappropriated entrusted funds and recommended disbarment in In re Peter Njang. 

The extent of the attorney’s participation

Respondent never filed an answer, did not appear at the pre-hearing conference or the hearing (either in person or through counsel), and submitted no exhibits. The Hearing Committee received a letter from Respondent dated September 30, 2015, in which he stated that he “admit[ted] to the allegations,” claimed they were the result of “sloppiness,” asked for lenity, and informed the Hearing Committee that he would not attend the hearing to defend against the charges or make a case for negligent misappropriation. Respondent’s letter does not constitute an answer to the Specification of Charges. It was filed well out of time, Respondent’s answer having been due on August 7, 2015 – a fact noted by the Hearing Committee Chair at the pre-hearing conference. See September 10, 2015 Prehearing Tr. 10-11; DX B at 1 (Respondent personally served with Specification of Charges on July 18, 2015); Board Rules 7.5 (Respondent’s answer due within 20 days of service). Board Rule 7.7 provides that a Respondent who fails to answer may not present “non-testimonial evidence.”

The committee nonetheless was obligated to conduct a full hearing and issue a report that concluded

With respect to Respondent’s state of mind (i.e., whether the misappropriation was intentional, reckless, or negligent), Respondent admitted in his response to Disciplinary Counsel that the first overdraft was a result of his “tampering” with the trust account and that he had no excuse for his conduct, and he sought mercy. See FF 5. While his letter does not explain precisely what he means by tampering, read in the context of his failure to offer any justification for the overdraft, it is clear that Respondent was acknowledging that he intentionally took money out of the trust account, knowing that such a withdrawal was not permitted. That is intentional misappropriation. Moreover, viewed in the light most favorable to Respondent, he was entitled to only $2,500 in fees. However, after depositing Mr. Sigmou’s settlement checks worth $7,500, he wrote four checks to himself totaling $4,600, more than half of the gross settlement amount. See FF 15, 19, 21. Thus, the Hearing Committee concludes that Respondent engaged in intentional misappropriation, in violation of Rule 1.15(a), by clear and convincing evidence.

The two bar investigations were opened in 2010 and 2011. Charges were filed in 2015 and the committee took about a year to issue a report (actually a rather commendable effort by D.C. standards). 

So far, it has taken about six years to get a first-level report in a case of admitted/defaulted theft of client funds.

Suspension and disbarment? Who knows when.

Ho hum. (Mike Frisch)