Opinion ID: 1353699
Heading Depth: 1
Heading Rank: 1

Heading: Fripp Island Villa Matter

Text: Respondent was a member of a partnership which owned two villas at Fripp Island encumbered by a $140,000 mortgage on both units. Respondent was the closing attorney for the Osbornes who purchased one of the villas, owned by the partnership, for $81,000. Respondent received all of the funds at closing, but instead of applying the funds to release the unit from the $140,000 mortgage, he diverted the proceeds to pay his own obligations at the same bank which held the mortgage on the units. Respondent admitted he failed to apply the proceeds received at closing to satisfy the mortgage. The Osbornes caused an indictment to be issued against respondent for breach of trust with fraudulent intent. However, the indictment was nolle prossed after the mortgage was satisfied. [1]