Sunday, December 20, 2009

Closing Attorney Arrested, Charged With Illegally Dipping Into Escrow Account, Pocketing Client Cash From Real Estate Purchase

In Lackawanna County, Pennsylvania, The Times Tribune reports:
  • A Scranton lawyer has been arrested on charges he stole money from an escrow account involving a real estate transaction in Old Forge. Attorney Richard Hallock, 33, of North Bromley Avenue, was arrested Monday by the Lackawanna County district attorney's office and charged with theft and receiving stolen property in connection with a purchase of two properties in Old Forge on June 17, 2008, according to court papers. The alleged theft involves $4,410.

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  • According to court papers, Josephine Lubiejewski, a representative from Penn Attorneys Title Insurance Co., told Detective Lisa Bauer of the district attorney's office that she was informed by Mr. Hallock that he was holding the taxes in escrow because of a tax dispute. Ms. Lubiejewski determined about $12,000 in Old Forge taxes were never paid by Mr. Hallock, and that Mr. Hallock "neither paid the taxes, nor took the required steps toward an appeal," court papers state.

  • When Mr. Hallock was asked to explain "what was going on" by Penn Attorneys Title Insurance Co., he "ignored the letters," court papers state. The court papers filed by Detective Bauer state [alleged victim Walter] Stocki has been notified by the disciplinary board of the Supreme Court of Pennsylvania that it is investigating the complaint Stocki filed against Mr. Hallock.

For more, see Lawyer charged with theft in Old Forge real estate deal.