Disbarred Attorney Cops Plea To Ripping Off Clients, Lenders; $128K Score In Owner Finance Scam Among Swindles

From the Office of the U.S. Attorney (Greenbelt, Maryland):

• Frank P. Jenkins II, age 45, of LaPlata, Maryland, pleaded guilty [last week] to wire fraud and mail fraud in connection with a scheme to defraud clients of his law practice and lenders in real estate transactions.

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• Jenkins admitted that from about 2006 through 2009, he caused clients to transfer money into bank accounts that he controlled, then embezzled the funds for his own purposes, rather than fulfilling his fiduciary obligations to his clients. [...] According to the plea agreement, Jenkins also made false statements to his clients as to his handling of estates and civil litigation and to lenders. Jenkins also provided his clients with fraudulent documents, including deeds and deeds of trust relating to property. Jenkins admitted that he forged the signatures of his clients, including on a consent decree requiring the clients to pay $150,000 to settle a breach of contract suit.

• In June 2009, Jenkins applied for a loan to refinance a property that he fraudulently told the lender he had purchased. In fact, Jenkins had entered into a contract to purchase the property, misrepresenting to the owners of the property that he would file a deed of trust and promissory note. Jenkins did record the deed showing he had purchased the property, but did not record the deed of trust.

• Jenkins received a check for $128,654.19 from the lender based on the fraudulent loan application. The deed Jenkins filed was subsequently rescinded and restored to the original owners, who were also awarded $150,000 each in compensatory and punitive damages, as well as attorney’s fees, by the Circuit Court for St. Mary’s County.

For the entire U.S. Attorney press release, see Former Charles County Attorney Pleads Guilty To Defrauding Clients And Lenders (Losses Totaled Between $1 Million and $2.5 Million).

(1) The Client Protection Fund of the Bar of Maryland was created to help reimburse clients for money they may have lost because of misappropriation or embezzle­ment by their attorneys.

For similar "attorney ripoff reimbursement funds" that sometimes help cover the financial mess created by the dishonest conduct of lawyers licensed in other states and Canada, see:

• Directory Of Lawyers' Funds For Client Protection (list now includes Canadian protection funds, courtesy of the American Bar Association);
• Check the USA Client Protection Funds Map;
• Check the Canada Client Protection Funds Map.

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