Lawyer Accused of Misappropriating Client Funds While Fighting Suspension
A Tennessee lawyer has been accused of misappropriating client funds while fighting a suspension in a disciplinary case involving similar alleged conduct.
Lawyer John Threadgill of Knoxville was charged Monday with felony theft over $60,000 in a case believed to stem from his handling of clients’ funds in 2008, the Knoxville News reports.
Threadgill was suspended Nov. 30 for depositing client funds into personal accounts, according to a press release (PDF) by Tennessee’s Board of Professional Responsibility. The suspension, upheld by the Tennessee Supreme Court, was for incidents that took place in 2003 and 2004, according to the Knoxville News.
Threadgill had blamed faulty accounting for the problems and said his active participation in the Knoxville and Tennessee bar associations should be considered in mitigation.
An ethics panel heard the case in April and May 2006. It issued a judgment in February 2007, and Threadgill appealed.
The supreme court’s November opinion (PDF) upheld a one-year suspension, saying it was not excessive, and indeed may be viewed as lenient. “The virtually identical misconduct perpetrated against multiple clients rebuts Threadgill’s contention that he inadvertently lost track of a few cases,” the opinion said. “His refusal to disburse client funds or provide accountings when requested by clients confirms that Threadgill acted knowingly.”
The opinion said Threadgill had previously been admonished in 1994 for similar conduct.
