Wednesday, December 23, 2009

Philly Feds Probe Alleged Rogue Paralegal For Fraud, Theft; Six-Figure Sums Stolen From Law Clients; Bad Acts Lead To Boss' Disbarment: Attorney

In Bucks County, Pennsylvania, the Philadelphia Inquirer reports:
  • [O]netime paralegal [Bonnie Sweeten] is accused of getting her former boss' law license suspended, masquerading as a lawyer, stealing six-figure sums from clients, defrauding a lender, and using forgery and a fake passport to pose as her employer at a mortgage closing, according to documents filed in civil lawsuits and state disciplinary proceedings.

  • Sweeten, 38, was even listed as a lawyer in the 2008 and 2009 editions of the Philadelphia Bar Association's legal directory. Lawyers for Sweeten and her accusers have said the FBI is probing allegations of fraud and massive thefts involving Sweeten and the Feasterville law office of attorney Debbie Carlitz, where Sweeten worked. No federal charges have been filed.

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  • Carlitz, 48, whose Pennsylvania law license had been suspended since 2008, was disbarred Dec. 1 by the state Supreme Court. Because Carlitz consented to the punishment, the underlying allegations against her were not made public.(1) But her attorney blamed Carlitz's fall largely on misplaced faith in Sweeten, her friend and assistant since 1995. Lawyer Ellen Brotman said, "Ms. Carlitz has lost more than just money as a result of her trust in Bonnie Sweeten."

For the story, see Kidnap hoaxer seeking reprieve (Bonnie Sweeten, a former paralegal imprisoned for faking her abduction, is alleged to have posed as a lawyer and stolen money from clients).

(1) Pennsylvania Lawyers Fund for Client Security, which, according to is website, was established by the Supreme Court of Pennsylvania in 1982 to reimburse clients who have suffered a loss as a result of a misappropriation of funds by their Pennsylvania attorney, could potentially find itself on the hook for the losses suffered by Carlitz' screwed-over clients. According to its website, The Fund does not have jurisdiction over claims alleging malpractice or ineffective representation. An appropriate claim:

  • Is based upon an attorney/client relationship or fiduciary relationship customary to the practice of law, and
  • Is seeking the return of money or property that was received by the attorney on behalf of the client, which money or property was then converted by the attorney.

Awards are discretionary. No one has an entitlement to an award from the Fund. The Fund has a $75,000 maximum award per claimant, according to its website.

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For those clients ripped off of their money and property by reason of the dishonest conduct of their attorneys in other states and Canada, see:

Maps available courtesy of The National Client Protection Organization, Inc.

posted by Home Equity Theft Reporter at 4:02 AM