Opinion
No. 74-2
Decided July 3, 1974.
Attorneys at law — Misconduct — Indefinite suspension from practice of law — Acts warranting — Improper use of client's funds.
ON CERTIFIED REPORT by the Board of Commissioners on Grievances and Discipline.
Relator, the Toledo Bar Association, filed a complaint against Loren G. Ishler, respondent, an attorney at law duly admitted to practice in Ohio, charging him with misconduct in that he failed to keep trust funds separate from his own; that he used trust funds for his own purposes; that he did not properly account for the funds of his client; and that he sent his client a check which was returned for insufficient funds.
Respondent filed an answer, denying the allegations of the complaint, and a panel consisting of three members of the Board of Commissioners on Grievances and Discipline was appointed to hear the cause.
It was stipulated that on October 12, 1970, respondent received a check from the First Federal Savings and Loan Association of Toledo in the amount of $3,267.08, payable to the order of Loren G. Ishler, attorney for George M. Rodriguez and Charalene G. Rodriguez. This check represented the proceeds from the sale of an interest in real estate by Rodriguez. The following day, respondent deposited the check in his trust account in the First National Bank of Toledo, Ohio, which account is styled, "Loren G. Ishler, Special Account." A dispute concerning the responsibility for unpaid real estate taxes and an unrecorded land contract was resolved in late November 1970. On December 15, 1970, respondent wrote Mr. and Mrs. Rodriguez, who were residing in Florida, advising them of the disposition of the sale, enclosing a statement concerning credits and expenses of the same and his check drawn on his special account, dated December 10, 1970, in the amount of $2,927.76, payable to George Rodriguez and Charalene Rodriguez. The payees deposited the check in a Florida bank and on January 18, 1971, it was returned by the First National Bank of Toledo as uncollectible. On April 6, 1971, respondent sent another check drawn on his special account payable to George and Charalene Rodriguez in the sum of $2,927.70 which was paid by the First National Bank of Toledo on April 15, 1971. Respondent also sent the Rodriguezes a bank cashier's check in the amount of $75, which he calculated "to be a reasonable amount of compensation for the loss to you for the mistake made in my office."
Investigation revealed that, beginning on October 20, 1970, the balance in respondent's special account was reduced below the amount due the Rodriguezes, and, excepting for two days in November, the balance was insufficient until the period from January 27, 1971, to February 5, 1971, when it again became insufficient until the period between February 24, 1971, to March 9, 1971. It did not become sufficient again until April 6, 1971.
Respondent had also maintained a second checking account at the First National Bank of Toledo styled "Loren G. Ishler, Attorney at Law." Although the balance in this account fluctuated considerably, on December 10, 1970, the date the first check was issued, the combined balance of the special account and the Attorney-at-Law account was $1,230.76. The statements of both checking accounts showed considerable activity during the months in question.
Respondent did not obtain counsel until just prior to the hearing. Counsel argued that the domestic turmoil in respondent's home was responsible for his failure to properly account to his clients.
In consideration of the foregoing, the board determined that the respondent had failed to maintain the integrity and competence of the legal profession and recommended that he be indefinitely suspended from the practice of law.
Mr. Harold S. Green, Mr. Thomas A. Watkins, Mr. Walter H. Lehman and Mr. Joseph P. Sheehy, for relator.
Mr. R. Martin Galvin, for respondent.
The respondent could give no reason for either the failure of his check to clear or the use of the special account funds for other than the payment of same to clients. We conclude, from an examination of the transcript and exhibits, that the findings of the board have a thoroughly sound basis in fact; that respondent used for other purposes at least a substantial part of the funds belonging to his clients; that he issued a check with insufficient funds in his special account which was maintained as his trust account; and that there was an unreasonable delay on his part, after the check was returned as uncollectible, in paying to his clients the moneys due them. We cannot countenance such conduct in the face of this Supreme Court's Rules for the Government of the Bar, as defined in Section 5 of Gov. R. V and Canons 1 and 9 of the Code of Professional Responsibility as adopted by this court. It is our finding and judgment that the respondent was guilty of misconduct as alleged, and we confirm the recommendation of the Board of Commissioners on Grievances and Discipline that the respondent, Loren G. Ishler, be indefinitely suspended from the practice of law in Ohio.
Report confirmed and judgment accordingly.
O'NEILL, C.J., HERBERT, CORRIGAN, STERN and CELEBREZZE, JJ., concur.