Girardi Criminal Charges Raise Concerns for California Bar Reputation

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The recent criminal indictments of California attorney Thomas Girardi and employees of his firm, Girardi Keese, have raised concerns about the reputation of the California State Bar. Despite numerous complaints, the bar has failed to take disciplinary action against the celebrated plaintiffs’ lawyer for years. The recent indictment handed down in Los Angeles federal court alleges five counts of wire fraud. It claims that Girardi and former CFO Christopher Kamon defrauded clients out of over $15 million over a decade. The indictment in federal court in Chicago alleges 12 criminal counts, including wire fraud and criminal contempt, against Girardi and his former partner and son-in-law, David Lira. Kamon has also been named in the Chicago case.

Jay Edelson, who is representing clients in a fraud and racketeering lawsuit against Girardi Keese and its principals, expressed confidence in the federal prosecutors handling the case and commented that this is a “bad day for plaintiff’s lawyers who are doing unethical things and a horrible day for the California Bar.” The bar has received over 200 complaints about Girardi over the years, with nearly 60 alleging client trust account violations.

Ruben Duran, chair of the California Bar Board of Trustees, acknowledged the seriousness of the abuse and misconduct that led to Girardi’s disbarment and stated that the bar is committed to ensuring that this type of misconduct never happens again. State Senate Judiciary Chairman Thomas Umberg proposed legislation requiring lawyers to report other attorneys for professional misconduct that raises questions about their honesty, trustworthiness, or fitness as an attorney.

  

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However, despite the numerous complaints, some have criticized the bar for its failure to take action against Girardi. Carol Langford, a law professor specializing in ethics, asked why prosecutors aren’t also investigating bar personnel who failed to supervise their employees and who must have been aware of the complaints. A legal ethics expert, Robert Hillman, commented that the indictments reinforce the bar’s failure to act and illustrate “how bad things can get when there is a bad seed in the profession.”

In conclusion, the recent criminal indictments of Thomas Girardi and employees of his firm have raised concerns about the reputation of the California State Bar and its ability to regulate and discipline attorneys. While the bar has taken steps to address these serious issues, the failure to take action against Girardi despite numerous complaints raises questions about its effectiveness. The proposed legislation by Thomas Umberg may help to prevent similar cases in the future, but more needs to be done to restore confidence in the profession and prevent unethical behavior by lawyers.

REFERENCES:

Girardi Criminal Charges Also Impugn California Bar, Critics Say