Disciplinary Counsel v. Crosby

132 Ohio St. 3d 387, 2012-Ohio-2872 (Ohio 2012) · Supreme Court of Ohio · June 28, 2012 · No. 2011-1453

Summary

The Supreme Court of Ohio permanently disbarred William Matthew Crosby for multiple instances of professional misconduct, including felony tax evasion, misuse and misappropriation of client funds, dishonesty, and failure to cooperate with disciplinary investigations. The court found substantial aggravating factors, including prior discipline, a pattern of misconduct, multiple offenses, false statements, vulnerable clients, and unpaid restitution. The court taxed costs to Crosby.

Court
Supreme Court of Ohio
Writing for the Court
Per Curiam; O'Connor, C.J.; Pfeifer, J.; Lundberg Stratton, J.; O'Donnell, J.; Lanzinger, J.; Cupp, J.; McGee Brown, J.
Jurisdiction
Ohio
Decision date
June 28, 2012
Docket number
2011-1453
Procedural posture
Attorney-discipline proceeding on a certified report from the Board of Commissioners on Grievances and Discipline. The respondent objected to the board's recommendation of disbarment and sought a two-year suspension concurrent with existing suspensions.
Standard of review
The Supreme Court of Ohio independently reviewed the stipulated facts, findings, conclusions, aggravating and mitigating factors, and recommended sanction in determining the appropriate discipline.
Precedential value
Published Ohio Supreme Court opinion; precedential.
Parties
Disciplinary Counsel v. William Matthew Crosby
Disposition
other

Topics

tax evasiontax fraudbankruptcy disclosure requirementsbankruptcyremedies

Practice areas

legal ethics and attorney disciplinetax crimesbankruptcy

Questions Presented

  1. Whether Crosby committed the charged violations of the Code of Professional Responsibility and other disciplinary rules.
  2. Whether the appropriate sanction for Crosby's tax evasion, misappropriation of client funds, dishonesty, and related misconduct was permanent disbarment rather than a two-year suspension concurrent with existing suspensions.

Holdings

  1. Crosby committed the professional misconduct found by the disciplinary panel and board, including felony attempted income-tax evasion, dishonesty, concealment of required information, misappropriation of client funds, failure to account for client funds, and failure to cooperate fully with disciplinary counsel.
  2. Permanent disbarment is warranted when an attorney's pervasive dishonesty and misappropriation of client funds are combined with felony tax evasion, prior discipline, multiple offenses, false statements during the disciplinary process, vulnerable clients, and failure to make restitution.

Key quotations

His pervasive dishonesty, combined with his misappropriation of client funds, compels us to permanently disbar Crosby from the practice of law in Ohio. (¶ 29)

Factual background

Crosby pleaded guilty to felony attempted income-tax evasion after failing to file tax returns from 2001 through 2006 and using an IOLTA account to conceal income from the IRS; he owed $314,637 in restitution. In representing clients who had sued the Catholic Diocese of Cleveland, he mishandled a $175,000 settlement, concealed the settlement from the bankruptcy court, misappropriated client funds, and charged clients more expenses than were documented. He also made false statements during the disciplinary investigation and had prior disciplinary suspensions.

Procedural history

Disciplinary counsel filed a five-count amended complaint in January 2011. After a June 2011 hearing, a panel found misconduct and recommended disbarment; the board adopted the panel's report. The Supreme Court of Ohio overruled Crosby's objections, adopted the recommendation, and permanently disbarred him.

Court Document

Open PDF
Loading document…