In re Schildhaus

23 A.D.2d 152, 259 N.Y.S.2d 631, 1965 N.Y. App. Div. LEXIS 4220
CourtAppellate Division of the Supreme Court of the State of New York
DecidedMay 11, 1965
StatusPublished
Cited by6 cases

This text of 23 A.D.2d 152 (In re Schildhaus) 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 Schildhaus, 23 A.D.2d 152, 259 N.Y.S.2d 631, 1965 N.Y. App. Div. LEXIS 4220 (N.Y. Ct. App. 1965).

Opinion

Per Curiam.

The respondent was admitted to practice as an attorney and counsellor at law in this Department on October 16, 1933. This disciplinary proceeding was instituted against him under subdivision 2 of section 90 of the Judiciary Law. The matter was duly referred to a Referee with direction to take testimony as to the charges and report thereon to this court. The Referee, on the basis of a comprehensive and well-reasoned report, concluded that Charges I, II and III, as alleged in the petition and amended petition were not sustained, but that Charges IV, V and VI, as alleged in the supplemental petition were duly established.

The Referee’s report is in all respects supported by the evidence. Respondent’s several points attempting to attack the jurisdiction of this court and purporting to raise constitutional issues plainly lack merit and do not warrant discussion. The Referee’s report should be confirmed.

Charges IV and V were presented by a supplemental petition, filed November 29, 1962. They allege professional misconduct in material misrepresentations by the respondent to the New York City Magistrates’ Courts in the course of two separate and independent prosecutions pending against him for violations of the Multiple Dwelling Law. It is alleged that the respondent falsely represented to the court that Unity Estates, Inc., a corporation, was the owner of the subject premises and that,' on the basis of such representation and on respondent’s application, the corporation was substituted in respondent’s place as the party defendant. It is further alleged that the respondent knew, [154]*154or had reason to know, that his representations in each case with respect to ownership of the premises were false.

These charges were fully sustained by the evidence. In the. prosecution pending against respondent in the City Magistrates’ Court, Bronx, entitled People ex rel. Cogen v. Schildhaus, the respondent, on March 13,1957, at a time for pleading, was asked by the court whether the subject houses were “owned by a coi*poration ”, and he replied “Yes, sir” and also stated that he wanted to substitute the corporation “ Unity Estates, Inc.” as the defendant in the prosecution. He further stated that he was authorized to plead for the corporation. The fact that Unity Estates, Inc., did not own the subject premises at the time of the alleged Multiple Dwelling Law violations was established by respondent’s admissions and testimony in the proceedings here.

Also, in the prosecution pending against the respondent in the ¡ City Magistrates’ Court, Bronx, entitled People ex rel. Rossillo v. Schildhaus, the respondent, on August 2, 1957, made a motion ; in court ‘ ‘ to substitute in place and stead of Arnold Sehildhaus, ' the owner of the house, Unity Estates, Inc. ”, stating that he ; was appearing as attorney for said Unity Estates, Inc. He further said that he thought he was the president of the corporation and that ‘ ‘ for the corporation, I am entering a plea of guilty. ’ ’ It was established, however, by the respondent’s admissions and testimony before the Referee that, at the time of the alleged Multiple Dwelling Law violations, Unity Estates, Inc., was not the owner of the subject premises.

The respondent’s position here was that the representatives of the New York City Department of Housing and Buildings and the Assistant Corporation Counsel in charge of the prosecutions understood that the particular corporation, Unity Estates, Inc., was not the owner; and that they had indicated that they did not care who was to be the defendant in each case, whether the actual owner or not. The Referee rejected the respondent’s testimony in this connection. Furthermore, as the Referee found in the one case, “ no arrangement respondent might make with the representatives of the Buildings Department and the Assistant Corporation Counsel, and irrespective of what respondent did or omitted to do to induce it, such arrangement could not furnish the slightest excuse for respondent’s imposition on the Court ’ ’.

Charge VI, set forth in the supplemental petition, alleged that the respondent, in connection with three certain written applicai tians to the Royal State Bank of New York for loans on behalf of certain corporations of which he represented himself to be [155]*155the president, made false statements in writing concerning the financial condition, ownership, control and/or operation of the corporations. Two of-the applications, bearing dates November 9, 1953 and January 1, 1955, were made in behalf of Unity Estates, Inc. and were signed “ Unity Estates, Inc. by A. Schildhaus, [respondent] Pres.”. The other application was one made in behalf of House Realty Corp., dated April 17,1956, and signed “ House Realty Corp. by H. A. Schildhaus, [respondent] Pres.”. It was duly established that certain statements which were part of the respective applications when made and which were filled out in respondent’s handwriting, contained material statements which were false and known to be false at the time when made, to wit:

(1) The statement in the loan application by Unity Estates, Inc., dated November 9,1953, that “ Emray & Unity Estates are 100% owned by A. Schildhaus ”, whereas in fact they were not so owned. Emray (Emray Realty Corp.) was another corporation in which respondent at one time had an interest.

(2) The respondent’s subscription of the loan applications dated November 9, 1953 and January 1, 1955, as “Pres.” of Unity Estates, Inc., whereas he was not then an officer of the corporation.

(3) The statement in the loan application dated April 17,' 1956, that the title to certain apartment buildings therein mentioned was in House Realty Corp., whereas in fact the title tó the premises at the time was otherwise held.

(4) Statements in the three applications that certain apartment buildings had stated net income for certain years, whereas it appears that the respective premises were being operated at a loss or, in any event, with an income return substantially less than that stated.

The charges of professional misconduct, sustained as against the respondent, are serious in nature. They demonstrate such a lack of professional and moral responsibility as to merit severe disciplinary action.

An attorney shall “ strive at all times to uphold the honor and maintain the dignity of the profession.” (Canons of Professional Ethics, canon 29.) The ‘ ‘ conduct of the lawyer before the Court * * * should be characterized by candor and fairness ’ ’. It is unprofessional for a lawyer as “an officer of the law charged * * * with the duty of aiding in the administration of justice ” to engage in practices having a tendency to mislead the court. (Canons of Professional Ethics, canon 22.) An attorney is to be held strictly accountable for his state[156]*156ments or conduct which, reasonably could have the effect of deceiving or misleading the court in the action to be taken in a matter pending before it. The court is entitled to rely upon the accuracy of any statement of a relevant fact unequivocally made by an attorney in the course of judicial proceedings. So, a deliberate misrepresentation by an attorney of material facts in open court constitutes serious professional misconduct. (See Matter of Rotwein, 20 A D 2d 428, 430. See, further, Drinker, Legal Ethics, p. 74; 7 C. J. S., Attorney and Client, § 23, p. 741.)

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

Related

Elam v. Eglesias
2025 NY Slip Op 50370(U) (New York Supreme Court, Kings County, 2025)
In re Shearer
94 A.D.3d 128 (Appellate Division of the Supreme Court of New York, 2012)
Klein v. Seenauth
180 Misc. 2d 213 (Civil Court of the City of New York, 1999)
In re Friedman
196 A.D.2d 280 (Appellate Division of the Supreme Court of New York, 1994)
In re Kassner
93 A.D.2d 87 (Appellate Division of the Supreme Court of New York, 1983)

Cite This Page — Counsel Stack

Bluebook (online)
23 A.D.2d 152, 259 N.Y.S.2d 631, 1965 N.Y. App. Div. LEXIS 4220, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-schildhaus-nyappdiv-1965.