US authorities have charged a 51-year-old licensed California attorney with wire fraud and money laundering in connection with a scheme to defraud the clients and employees of a foreclosure law firm that he owned by stealing more than $3.9 million.
The defendant was the Chief Executive Officer of the California-based Plutos Sama, LLC, a company that owned the Maryland law firm BP Fisher Law Group, LLP. BP Fisher represented lenders and mortgage loan servicers in foreclosure and default proceedings. It served as a substitute trustee for lenders and mortgage loan servicers participating in foreclosure proceedings on properties that were in default. BP Fisher used to receive the proceeds of these foreclosures into its trust accounts.
However, instead of paying the funds to BP Fisher’s clients, the defendant transferred the funds from the trust accounts into his other accounts. He also allegedly stole funds from the law firm’s accounts, causing the company to be unable to pay its employee expenses like payroll, health insurance benefits, and retirement benefits. The defendant allegedly stole over $3.9 million and directed the stolen funds to pay for personal expenses, as well as the expenses of family members and Plutos Sama.
Source: US Department of Justice