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ATTORNEY disciplinary proceeding.
Attorney's license revoked.
¶1 PER CURIAM. Attorney Adam Walsh
has filed a petition for the consensual
revocation of his license to practice law in
Wisconsin pursuant to Supreme Court Rule
(SCR) 22.19. Attorney Walsh's petition
states that he cannot successfully defend
against the allegations of professional
misconduct arising out of two Office of
Lawyer Regulation (OLR) investigations
concerning his conduct. An OLR summary of
those investigations and of the potential
allegations of professional misconduct is
attached to Attorney Walsh's petition.
¶2 Attorney Walsh was admitted to the
practice of law in Wisconsin in January
2008. He most recently practiced in Madison
under the name Affordable Legal Services of
Wisconsin. Attorney Walsh sold the law firm
to another attorney effective January 1,
2015. He continued to work at the firm,
however, until November 25, 2015.
¶3 Attorney Walsh has been the subject
of professional discipline on one prior
occasion. In 2015 he consented to the
imposition of a private reprimand pursuant
to SCR 22.09 for improperly using his client
trust account credit card on three separate
occasions to disburse trust account funds
prior to the deposit and availability of
those funds for the respective clients and
for failing to maintain and to produce
required trust account records. Private
Reprimand 2015-1 (electronic copy available
at
https://compendium.wicourts.gov/app/raw/00
2757.html).
¶4 Attorney Walsh filed a petition for
the voluntary resignation of his license to
practice law in this state in June 2016.
Because the OLR's response to that petition
indicated that it was conducting an
investigation regarding Attorney Walsh, his
voluntary resignation petition has been held
in abeyance. In light of his current
petition, his petition for voluntary
resignation is being dismissed pursuant to a
separate order being issued simultaneously
with this opinion.
¶5 The OLR summary attached to Attorney
Walsh's petition for consensual revocation
sets forth two main areas of investigation
into potential ethical violations.
¶6 The first area involves Attorney
Walsh's multiple instances of insufficient
balances in his client trust account.
Attorney Walsh maintained a client trust
account at JP Morgan Chase Bank in Madison
from November 19, 2010, until October 14,
2015. At the time he closed the account,
Attorney Walsh withdrew for himself the
remaining balance of $868.26. A check
Attorney Walsh had issued against the trust
account, however, was subsequently presented
for payment on November 3, 2015, and was
returned for insufficient funds. Attorney
Walsh claims that he reimbursed the
recipient of the trust account check via
other means.
¶7 Although the OLR's investigation was
hampered by Attorney Walsh's refusal or
inability to provide records for his trust
account, the available information shows
that on multiple occasions, the trust
account contained substantially less money
than it should have in 2014 and 2015. For
example, bank records show that the balance
in the trust account was $469,349.55 on May
31, 2014. At that time, the trust account
should have contained at least $78,351.86 in
funds belonging to two clients, J.M.G. and
M.J.E. Subtracting that amount from the
balance would leave a remaining balance of
$390,997.69. This amount, however, was more
than $50,000 less than Attorney Walsh had
previously admitted in a letter he should
have been holding for another client, a
substantial trust. Indeed, that amount
would have been more than $78,000 less than
the amount identified in the March 28, 2014
annual report of the trust. Moreover, the
limited records the OLR was able to obtain
indicate that Attorney Walsh deposited over
$589,000 into his trust account on behalf of
the trust, but those records also show total
disbursements of only approximately $530,000
to proper recipients of the trust's funds.
Because the OLR has not been able to obtain
complete records, it cannot tell whether
there were other disbursements to proper
recipients for which records are not
available or whether Attorney Walsh
converted some or all of the remaining
trust's funds to his own use.
¶8 Similar possible shortcomings in
disbursements of other client funds appear
in connection with at least three other
clients. The amounts that do not appear to
have been disbursed to the clients or to
other proper recipients, however, are
substantially smaller than was the case with
the trust's money. What is clear is that in
at least one case, the balance of Attorney
Walsh's client trust account dipped more
than $30,000 below the amount that should
have been held in trust for just one client.
Thus, that amount of client funds had to
have been converted to the use of other
clients or to Attorney Walsh's personal use.
¶9 Indeed, Attorney Walsh admitted to
the OLR that starting at least as far back
as 2011 he had placed substantial sums of
his own money into the trust account and had
not kept track of those funds. Given the
fact that on multiple occasions the balance
in his trust account was substantially less
than the amounts that were owed to clients,
one can only conclude that Attorney Walsh
needed to deposit his own funds into the
account at times to avoid overdrafts and to
repay amounts he had previously converted to
his own use.
¶10 In the course of its investigation,
the OLR asked Attorney Walsh to produce a
transaction register, client ledgers, and a
monthly reconciliation for his trust
account. Attorney Walsh failed to produce
any of these requested records. He produced
only a single bank statement for October
2015, the month prior to closing the
account. His response to the OLR's request
stated merely that he was no longer
practicing law and that he did not possess
any further records.
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