Pen Sales

An agreed five-year suspension has been approved by the Virginia State Bar Disciplinary Board for a law firm associate

At least as early as 2019, Respondent began diverting client payments to a personal account.

Respondent diverted funds from C&N by signing on new clients with C&N and depositing multiple payments into his personal accounts. Respondent did not disclose to C&N that he was depositing these clients’ payments into his personal accounts.

Respondent accepted these diverted payments via Square Accounts in the names “Shapiro Pen Sales” and C&N, Zelle, cash, and checks. Respondent was not authorized to create a Square Account in C&N’s name.

These electronic, check, and cash payments were deposited into Respondent’s personal bank accounts with NextMark, Capital One, or PNC.

While Respondent was working for C&N, he did not maintain his own trust account. Consequently, none of the diverted payments were deposited into a trust account.

Respondent’s representation agreements stated that the client “retain[ed] and employ[ed] the law firm of Carroll & Nuttall, P.C., and Brandon R. Shapiro, Esquire[.]

Misconduct uncovered

In or about February 2024, Carroll and Nuttall discovered Respondent’s scheme.

While handling a divorce case for client S.S., Respondent received $11,300 cash from U.S., S.S.’s son after handling a divorce case for S.S.

Carroll, who had a previous relationship with U.S., asked U.S. whether he had been billed for his mother’s case. U.S. told Carroll that he had paid Respondent $11,300 in cash. U.S. sent Carroll a copy of the receipt Respondent provided for the $11,300 cash payment. Respondent asserted that he did not request to be paid in cash.

Carroll asked Respondent to bring the fee paid by U.S. so Carroll could deposit it. Respondent told Carroll that he “needed [the cash] for bills” and “had to pay bills with it.”

Respondent signed promissory notes for the diverted funds

Despite signing both the first and second promissory notes acknowledging diversion of $152,000 and then $319,000, Respondent told Investigator Foley that he estimated that he diverted $130,000-$150,000 from C&N.

Respondent did not report all the income he diverted from C&N on his tax returns.

On December 24, 2024, Respondent entered into a Settlement Agreement and Mutual Release (“Settlement Agreement”) with C&N. Pursuant to the Settlement Agreement, Respondent agreed not to contest the VSB allegations and to accept responsibility for the alleged misappropriation of funds. Respondent also agreed to pay C&N a total of $200,000. These payments have been made to C&N on Respondent’s behalf.

(Mike Frisch)