Opinion ID: 2375797
Heading Depth: 1
Heading Rank: 4

Heading: Pugh Matter

Text: Respondent represented a buyer in the purchase of real estate. At the closing, respondent received certain proceeds which he deposited in his trust account. He then issued a trust account check for $43,459.63 representing the balance of the purchase price and delivered it to the seller. The check, however, was dishonored when presented since the funds deposited had been used to cover other overdrafts on the account. Respondent eventually covered the draft with a loan from a friend after proceedings were instituted to set aside the sale. In addition to the foregoing matters, there was evidence of a pattern of neglect in the handling of clients' cases and misuse of trust funds which extended over a period of several years. In some instances (estimated by respondent to be about eight) respondent had allowed the statute of limitations to run on claims of clients without filing suit. He would then falsely advise the client that the case had been settled for a certain amount of money, obtain a release and pay the client out of trust funds belonging to other clients. Respondent conceded that in April 1978 he was out of trust in the amount of $172,779.54. He estimated that approximately $80,000 of this could be attributed to the fictitious settlements mentioned above, $20,000 represented a loan to his brother and the balance was used by him to meet personal needs. Additional complaints against respondent are pending before the District Ethics Committee. The Disciplinary Review Board (DRB), after reviewing the record, found that respondent engaged in conduct involving dishonesty, fraud, deceit and misrepresentation in violation of DR1-102(A)(4), (5) and (6); DR7-101(A)(2) and DR9-102. It also noted respondent's admitted failure to maintain proper financial records as required by R. 1:21-6. The DRB recognized that respondent has made a substantial effort to make restitution to those whose funds he misappropriated, but it concluded that this could not in any way excuse respondent's conduct. It recommended that respondent be disbarred. We agree. The picture presented is not that of an isolated instance of aberrant behavior unlikely to be repeated. Respondent's conduct over a period of years has exhibited a pattern of negligence or neglect in his handling of legal matters. See DR6-101(A)(2). More importantly, however, he has demonstrated an egregious inability to handle trust monies in accordance with the high standards required of every attorney. DR1-102(A)(4)(5) and (6); DR9-102. The public must be protected against this kind of behavior. An order of disbarment is to be entered and respondent's name stricken from the roll. So ordered. For disbarment  Justices SULLIVAN, PASHMAN, CLIFFORD, SCHREIBER, HANDLER and POLLOCK  6. Opposed  None.