Opinion ID: 1439142
Heading Depth: 1
Heading Rank: 5

Heading: Caracciolo Complaint

Text: The next aggravator stemmed from Mr. Newman's representation of Mr. Caracciolo and his handling of a restitution agreement worked out with the prosecuting attorney and Fletcher Honda. The Committee's complaint alleged that Mr. Newman's questionable handling of the Caracciolo matter violated Model Rules 1.3, 1.4(a), 1.4(b), 8.4(a), 8.4(b), and 8.4(c) because he failed to act diligently on his client's behalf and failed to keep his client reasonably informed. The complaint also alleged that he intentionally attempted to defraud Fletcher Honda by paying less than the agreed-upon amount of restitution. Mr. Newman stated that he was unsure how the $1,500.00 restitution check was converted into two separate checks. According to him, in reviewing the Caracciolo file, he discovered that there was an overpayment made by Mr. Caracciolo, and he directed his secretary to prepare one check to Fletcher Honda and another to the client, without specifying an amount for each check. The special judge found no Model Rule violations with regard to this matter. In so doing, he relied on his finding that no one gained anything in this matter, and that Mr. Newman's actions were irresponsible and irrational. The special judge further stated, however, that he chose to accept the testimony of Ms. Judith Sears, Mr. Newman's secretary, that he directed her to make the two checks payable as she did. According to the special judge, if Mr. Newman intended to commit a criminal act, he did not do a very good job of hiding it. The Director now argues that the special judge's findings and conclusions in the Caracciolo matter were clearly erroneous with regard to Rule 8.4(a), 8.4(c), and 8.4(d). Specifically, the Director argues that the special judge's findings on the check endorsement are contradictory in that he found that Mr. Newman did not obtain Mr. Caracciolo's permission to endorse the check until several days after he had already endorsed it. According to the Director, this finding supports an inference that Mr. Newman intended to pocket the $500.00. While the evidence in this matter clearly indicates that Mr. Newman engaged in questionable behavior, the ultimate question of whether there was a violation of any of the Model Rules turned wholly on the credibility of the witnesses, a matter within the province of the fact-finder. Accordingly, we cannot say that the special judge erred in finding no violations.