In re Carusona

304 A.D.2d 200, 758 N.Y.S.2d 111, 2003 N.Y. App. Div. LEXIS 3734

This text of 304 A.D.2d 200 (In re Carusona) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re Carusona, 304 A.D.2d 200, 758 N.Y.S.2d 111, 2003 N.Y. App. Div. LEXIS 3734 (N.Y. Ct. App. 2003).

Opinion

OPINION OF THE COURT

Per Curiam.

The Grievance Committee for the Ninth Judicial District (hereinafter the petitioner) served the respondent with a petition dated June 1, 2001, containing 18 charges of professional misconduct. After a hearing on February 27, 2002, the Special Referee sustained Charges 1 through 17 and failed to sustain Charge 18. The petitioner now moves to confirm the Special Referee’s report and to impose such discipline as the Court deems just and proper. The respondent’s counsel has submitted an affirmation requesting that this matter be referred back to the petitioner for appropriate action.

Charge 1 alleges that the respondent engaged in conduct that adversely reflects upon his fitness to practice law, in violation of Code of Professional Responsibility DR1-102 (a) (7) (22 NYCRR 1200.3 [a] [7]), by failing to maintain a sufficient balance in a “Client Funds Account,” in breach of his fiduciary duties.

The respondent operated a “Client Funds Account” at Chemical Bank under master account number 035-0715786-65, captioned the account of “Fred S. Carusona,” from approximately March 24,1995, until August 23, 1996. After the merger of Chemical and Chase Manhattan Banks in August 1996, the respondent operated the same account as an “Escrow and Client Funds Management Account” at Chase Manhattan Bank under the same master account number. That account was maintained from approximately August 24, 1996, until May 26, 1998.

During the period March 24, 1995, through May 26, 1998, the respondent used that account for the receipt and disbursement of funds which came into his possession incident to his practice of law. From approximately April 19, 1995, through May 11, 1995, the account balance was below zero.

Charge 2 alleges that the respondent engaged in conduct that adversely reflects upon his fitness to practice law, in violation of Code of Professional Responsibility DR1-102 (a) (7) (22 NYCRR 1200.3 [a] [7]), by failing to maintain a sufficient balance in the Client Funds Account, in breach of his fiduciary duties.

[202]*202Beginning approximately May 19, 1995, and continuing until approximately May 22, 1995, the balance in the account was below zero.

Charge 3 alleges that the respondent engaged in conduct that adversely reflects upon his fitness to practice law, in violation of Code of Professional Responsibility DR1-102 (a) (7) (22 NYCRR 1200.3 [a] [7]), by failing to maintain a sufficient balance in the Client Funds Account, in breach of his fiduciary duties.

Beginning approximately July 25, 1995, and continuously thereafter until approximately August 3, 1995, the balance in the account was below zero.

Charge 4 alleges that the respondent engaged in conduct that adversely reflects upon his fitness to practice law, in violation of Code of Professional Responsibility DR1-102 (a) (7) (22 NYCRR 1200.3 [a] [7]), by failing to maintain a sufficient balance in the Client Funds Account, in breach of his fiduciary duties.

Beginning approximately August 14, 1995, and continuously thereafter until approximately August 18, 1995, the balance in the account was below zero.

Charge 5 alleges that the respondent engaged in conduct that adversely reflects upon his fitness to practice law, in violation of Code of Professional Responsibility DR1-102 (a) (7) (22 NYCRR 1200.3 [a] [7]), by failing to maintain a sufficient balance in the Escrow and Client Funds Management Account, in breach of his fiduciary duties.

Beginning approximately January 6, 1997, until January 7, 1997, the balance in the account was below zero.

Charge 6 alleges that the respondent engaged in conduct that adversely reflects upon his fitness to practice law, in violation of Code of Professional Responsibility DR1-102 (a) (7) (22 NYCRR 1200.3 [a] [7]), by failing to maintain a sufficient balance in the Escrow and Client Funds Management Account, in breach of his fiduciary duties.

Beginning approximately February 10, 1997, until February 11, 1997, the balance in the account was below zero.

Charge 7 alleges that the respondent engaged in conduct that adversely reflects upon his fitness to practice law, in violation of Code of Professional Responsibility DR1-102 (a) (7) (22 NYCRR 1200.3 [a] [7]), by failing to maintain a sufficient balance in the Escrow and Client Funds Management Account, in breach of his fiduciary duties.

[203]*203Beginning approximately March 25, 1997, and continuously thereafter until approximately March 27, 1997, the balance in the account was below zero.

Charge 8 alleges that the respondent engaged in conduct that adversely reflects upon his fitness to practice law, in violation of Code of Professional Responsibility DR1-102 (a) (7) (22 NYCRR 1200.3 [a] [7]), by failing to maintain a sufficient balance in the Escrow and Client Funds Management Account, in breach of his fiduciary duties.

Beginning approximately May 27, 1997, and continuously thereafter until approximately May 30, 1997, the balance in the account was below zero.

Charge 9 alleges that the respondent engaged in conduct that adversely reflects upon his fitness to practice law, in violation of Code of Professional Responsibility DR1-102 (a) (7) (22 NYCRR 1200.3 [a] [7]), by failing to maintain a sufficient balance in the Escrow and Client Funds Management Account, in breach of his fiduciary duties.

Beginning approximately July 3, 1997, and continuously thereafter until approximately July 11, 1997, the balance in the account was below zero.

Charge 10 alleges that the respondent engaged in conduct that adversely reflects upon his fitness to practice law, in violation of Code of Professional Responsibility DR1-102 (a) (7) (22 NYCRR 1200.3 [a] [7]), by failing to maintain a sufficient balance in the Escrow and Client Funds Management Account, in breach of his fiduciary duties.

Beginning approximately August 11, 1997, and continuously thereafter until approximately September 12, 1997, the balance in the account was below zero.

Charge 11 alleges that the respondent engaged in conduct that adversely reflects upon his fitness to practice law, in violation of Code of Professional Responsibility DR1-102 (a) (7) (22 NYCRR 1200.3 [a] [7]), by failing to maintain a sufficient balance in the Client Funds Account, and in the Escrow and Client Funds Management Account, in breach of his fiduciary duties.

Beginning approximately April 5, 1995, and continuously thereafter until approximately January 21, 1998, the respondent used client funds at Chemical and Chase Manhattan Banks to receive and disburse funds he obtained incident to his practice of law on behalf of Nicholas Jennings. On one or more dates during that interval, the balance on deposit for the [204]*204Jennings matter fell below the level which should have been maintained for that client.

Charge 12 alleges that the respondent engaged in conduct that adversely reflects upon his fitness to practice law, in violation of Code of Professional Responsibility DR1-102 (a) (7) (22 NYCRR 1200.3[a] [7]), by failing to maintain a sufficient balance in the Escrow and Client Funds Management Account, in breach of his fiduciary duties.

Free access — add to your briefcase to read the full text and ask questions with AI

Cite This Page — Counsel Stack

Bluebook (online)
304 A.D.2d 200, 758 N.Y.S.2d 111, 2003 N.Y. App. Div. LEXIS 3734, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-carusona-nyappdiv-2003.