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Attorney Martin J. Greenberg was admitted to
the practice of law in Wisconsin on May 24,
1971, State Bar No. 1013746.
In February 2025, a new "client" claiming to
be from Hong Kong emailed Greenberg. They
told Greenberg they had an outstanding
business loan that was due and owing from a
Wisconsin resident. Greenberg had never
represented the "client" before, and he only
communicated with them by email and
telephone. The "client" used a publicly
available free gmail.com address, rather than
a business email address. Greenberg never met
with the "client," either in person or via a
video meeting.
Greenberg never spoke with the "opposing
party," supposedly a businessman with a
company in Pewaukee, Wisconsin. Greenberg
only communicated with the "opposing party"
by email via a publicly available free
gmail.com address rather than a business
email address. While Greenberg reviewed the
"opposing party's" supposed business website,
he did not confirm the person with whom he
emailed was, in fact, the person who owned
the Wisconsin business in question. Greenberg
never met with the "opposing party," either
in person or via a video meeting.
The "client" emailed Greenberg, explaining
they had wired the "opposing party" $3
million pursuant to a business loan agreement
whereby the "client" would lend the "opposing
party" $3 million, and in return the
"opposing party" would pay him back $4.5
million one year later. The "client" provided
the loan agreement to Greenberg, which
described the purpose of the loan only as
"pursuant to a business transaction he wants
to enter into." The agreement did not set
forth a 50% interest rate or mention a $4.5
million repayment, the amount the "client"
claimed was to be repaid. Greenberg did not
obtain any evidence that the "client" had
ever actually lent $3 million to the
"opposing party," or any other documentation
confirming the transaction occurred. The
"client" claimed that the "opposing party"
failed to repay the $4.5 million.
Greenberg agreed to represent the "client"
for an advanced fee of $2,500, which he would
bill against at his normal hourly rate.
Greenberg prepared a demand letter for the
full $4.5 million, which the "client"
insisted Greenberg send not by certified
mail, but only by email to the "opposing
party." On February 27, Greenberg emailed the
demand letter to the "opposing party," who
responded within a day, immediately agreeing
to pay the full amount without any
negotiation and without hiring counsel of his
own. The "opposing party" proposed a payment
plan of$2 million by April 30, 2025, $1.25
million by May 31, 2025, and $1.25 million by
June 30, 2025.
Before the "parties" had entered into a
settlement agreement, the "opposing party"
wired $4,000 into Greenberg's Wisconsin trust
account on March 3, as a "test transfer,"
which included a "5% Success Fee" of $200,
presumably for Greenberg. On March 5, the
"client" and the "opposing party" both
purported to sign a settlement agreement
prepared by Greenberg, incorporating the
"opposing party's" payment plan.
On March 7, the "client" sent Greenberg wire
transfer instructions to send $3,750 payable
to a bank account at a bank in Mexico City.
The "client" told Greenberg that the account
belonged to a Mexican company owned by the
"client," and that the wire was a test
transfer to ensure the wire transfer
instructions were correct.
During the period in question, Greenberg was
working remotely from Florida while his
paralegal in Wisconsin initiated the bank
transactions pursuant to Greenberg's
instructions. Greenberg's paralegal sent the
$3,750 wire transfer.
On March 18, the "opposing party" wired
$3,451,157.44 to Greenberg's trust account,
which is an amount not mentioned in any of
the agreements, did not match the agreed
first installment payment of $2 million, and
was not due to be paid until April 20, 2025.
That same day, both the "client" and the
"opposing party" emailed Greenberg to confirm
he had received the funds and asked him to
send out money by wire transfer the next day.
Once Greenberg confirmed he had received the
funds, on March 19, the "client" sent
Greenberg an email thanking him for receiving
the funds in his trust account and including
a breakdown of the payment as $3,451,157.44
funds received, less a "5% Success Fee" of
$172,557.87, again presumably for Greenberg,
leaving a balance of$3,278,599.57. The
"client" also emailed wire transfer
instructions to send $782,000 made payable to
his Mexican company at a different bank in
Mexico City than the bank to which Greenberg
had previously sent the $3,750 test wire
transfer. No other emails or agreements
between the "parties" discussed $782,000 or
sending money to a second bank in Mexico
City. Nevertheless, that same day Greenberg
had his paralegal wire transfer $782,000 to
the second bank in Mexico. The "client"
emailed Greenberg, asking him to confirm the
money had been sent.
After Greenberg confirmed the $782,000 had
been sent, the "client" confirmed by email he
had received it and told Greenberg to keep an
additional $5,000 for himself for his
trouble. Greenberg never asked the "client"
about the "success fees" of $200 and
$172,557.87 or the bonus $5,000 the "client"
offered him for doing no additional work
beyond that for which Greenberg was hired.
On March 20, the "client" emailed Greenberg
wire instructions to send $1,255,000 to the
first bank in Mexico City, the same one to
which Greenberg had sent the initial $3,750
"test transfer." Greenberg sent his paralegal
to his Wisconsin bank to send this transfer,
but Greenberg's bank refused to initiate tl1e
wire transfer.
By that time, a bank in Florida, the source
of the initial $3,451,157.44 transfer, had
contacted Greenberg's bank in Wisconsin to
inform them that the initial wire transfer
had been fraudulent and requested Greenberg's
bank return the funds. Because Greenberg had
already sent $782,000 belonging to some
unknown third party or parties to a bank in
Mexico, Greenberg's bank was only able to
return the remaining trust account balance
of$2,701,632.75 to the bank in Florida,
leaving a $0.00 balance in Greenberg's trust
account. The bank then closed his trust
account. Thereafter, Greenberg contacted the
FBI and self-reported the incident to OLR.
Prior to receiving any funds from the
"client" or "third party," Greenberg had been
holding in his trust account $32,475.31,
consisting of $2,024.69 belonging to one or
more of his clients, and $30,450.62 in earned
fees he had not yet disbursed from his trust
account. The net effect of Greenberg's
actions was that he failed to hold in trust
the $2,024.69 in client funds and he
unwittingly assisted the perpetrators in
converting a total of $749,524.69 belonging
to some unknown third party or third parties
whose funds had been on deposit at the bank
in Florida. While Greenberg reimbursed his
clients for their lost $2,024.69, Greenberg
himself lost $30,450.62 in earned fees. The
$782,000 has not been recovered.
By failing to maintain the requisite
knowledge and skill regarding technology and
financial transactions reasonably necessary
to recognize and prevent his unwitting
participation in the fraudulent transactions,
Greenberg violated SCR 20: 1.1, which states:
"A lawyer shall provide competent
representation to a client. Competent
representation requires the legal knowledge,
skill, thoroughness and preparation
reasonably necessary for the representation."
By instructing his paralegal employee to
initiate wire transfers of funds from his
client trust account without taking
reasonable steps to safeguard the client
funds held in trust, Greenberg violated SCR
20:1.15(b)(1), which states in relevant part:
"A lawyer shall hold in trust, separate from
the lawyer's own property, that property of
clients and 3rd parties that is in the
lawyer's possession in connection with a
representation."
By instructing his paralegal employee to
initiate wire transfers of funds from his
client trust account without taking
reasonable steps to recognize and prevent his
unwitting participation in fraudulent
transactions, Greenberg violated SCR
20:1.15(f)(1), which states in relevant part:
"A lawyer is responsible for the security of
each transaction in the lawyer's trust
account and shall not conduct or authorize
transactions for which the lawyer does not
have commercially reasonable security
measures in place. A lawyer shall establish
and maintain safeguards to assure that each
disbursement from a trust account has been
authorized by the lawyer and that each
disbursement is made to the appropriate
payee."
Greenberg has no prior discipline.
In accordance with SCR 22.09(3), Attorney
Martin Greenberg is hereby publicly
reprimanded.
Dated this 7th day of May, 2026.
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