Poor Bookkeeping Practices
The Illinois Hearing Committee recommends a suspension of six months and until further order of an attorney who had defaulted on disciplinary charges
The allegations deemed admitted establish that Respondent: 1) provided financial assistance totaling $2,666,67 to a client for personal expenses that were not court costs or litigation expenses; 2) failed to safeguard $929.03 of the same client’s settlement funds by allowing the balance of his client trust account to fall below the amounts owed to the client and/or lienholders; and 3) failed to maintain required accounting records for his client trust account. Based on these admitted allegations, the Administrator established by clear and convincing evidence that Respondent violated Rules 1.8(e) and 1.15(a) of the Illinois Rules of Professional Conduct (2010).
We have considered in mitigation that Respondent has no prior discipline and his failure to safeguard funds appears to have resulted from poor bookkeeping practices rather than a dishonest motive. Respondent’s failure to appear for his disciplinary hearing and to fully participate in this proceeding is a significant factor in aggravation.
The complaint alleged
On June 5, 2016, Mohamed E. Ali (“Ali”), one of about 43 passengers in a bus operated by Darrell Langston (“Langston”) on behalf of South Ocean, Inc., a corporation d/b/a D & J Coach Tours (“Coach Tours”), sustained injuries as a result of a collision between the bus and a vehicle operated by Jose Martinez Muro (“Muro”) and involving other vehicles. At the time of the incident, the bus was traveling southbound along I-94 at or near 63rd Street in Chicago.
As a result of his injuries from the June 2016 collision, Ali incurred approximately $21,000 in medical bills.
The client’s need for financial help
In or about 2019 and 2020, at various times, Ali told Respondent that he needed money to pay his rent and other personal expenses.
After receiving client funds
As of January 21, 2021, Respondent deposited funds totaling $6,957.43 into Respondent’s client funds account in connection with Ali’s claims from the June 2016 collision. As of that date, after payment of attorney’s fees and costs totaling $3,342.73 and the repayment of the funds that Respondent had advanced to Ali totaling $2,666.67, Ali had an interest in at least $948.03 of the total funds deposited in Respondent’s client funds account.
As of April 7, 2021, Respondent had not made any payments toward any liens in connection with Ali’s claims from the June 2016 collision.
Between January 21, 2021 and April 7, 2021, Respondent made various disbursements from Respondent’s client funds account for the purpose of paying Respondent’s own business and personal expenses unrelated to Ali, causing the balance in the account to fall to $19.
(Mike Frisch)