Ex-Lawyer Pleads Guilty to stealing $148,000

A disbarred lawyer pleaded guilty on October 30, 2007 in Manhattan to stealing $148,000 from at least 20 clients. The ex-lawyer, Richard Boter, has agreed to a sentence of at least one year in prison and to pay $160,000 in restitution and forfeiture, according to the Manhattan District Attorney’s Office.

Mr. Boter was the twelfth attorney to be netted by that office’s probe into the use of "runners" by personal injury lawyers to bribe hospital employees to gain access to potential clients. Mr Boter had purchased cases from various runners, at least one of whom had bribed hospital employees to gain confidential information about patients. To date, the 12 lawyers caught in the investigation have agreed to pay restitution or forfeiture of$1.7 million.

With regard to Mr. Boter, who was disbarred last month, the District Attorney's office said he had stolen client funds by keeping their share of settlement proceeds. He was able to do that by settling cases without his clients' permission and then forging their signatures on release forms forwarded to insurance companies to obtain the release of the settlement funds, the office said.

This is not a terribly smart way to steal, since in New York State insurance companies are required to mail letters directly to an injured person settling a claim, telling the injured person that a settlement check is being mailed to his or her attorney, and giving the amount of the check.  A copy of this letter is also sent to the injured persons's lawyer.  This makes Mr. Boter's crime particularly stupid and unlikely to be attempted by other lawyers.  I hope.