When Lawyers Become Part of The Problem

With the horrible stories that littered the past year of massive Ponzi schemes and related financial fraud, it is especially discouraging to hear that trusted professionals like accountants and lawyers may have not only known about some of these activities, but in some cases, benefited financially from them. But that is exactly what is happening in Florida.

Disbarred attorney Scott Rothstein was convicted of running a $1.2 billion Ponzi scheme while in charge of the Rothstein Rosenfeldt Adler law firm. Rothstein was sentenced to 50 years in prison in connection with the charges, but in a deposition for related civil charges, Rothstein said that his partners not only knew about the scheme, they benefited financially from it as well. His law partners have previously denied any knowledge of any illegal activities and have accused Rothstein of pointing fingers at them to try and decrease his prison sentence.

Rothstein’s scheme involved selling purported investments in fake legal settlements to wealthy individuals. Rothstein estimated during his deposition that he personally spent about $200 million in money fleeced from this fraud.

While there is no way to ensure that people in positions of power like Rothstein will never abuse that power, it is good to see the justice system at work, both criminally and civilly, taking care of individuals that can tarnish the reputation of an entire profession. It is these kinds of lawyers that give the rest of us a bad name.

Thankfully most lawyers don’t fall prey to these kinds of impulses, but when they do someone needs to be there to help pick up the pieces from the devastation left behind. If you or a loved one thinks you have been defrauded by a trusted individual like an accountant or attorney, contact the experienced trial attorneys at Lord & Faris for a free consultation.

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