Legal Ethics

Ex-Lawyer Who Lost Gambling Addiction Suit Arraigned on Escrow Theft Charges

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A disbarred New York lawyer and TV commentator who lost her gambling addiction lawsuit has been arraigned on charges that she looted the escrow accounts of several clients, failing to return $100,000 she was holding for them.

Arelia Taveras faces up to seven years in prison if she is convicted, the North Country Gazette reports. The indictment claims that Taveras submitted a videotaped statement to the Attorney Grievance Committee that she had taken client money because of a gambling addiction and the committee had not properly supervised young lawyers.

Taveras had sued seven casinos, alleging they failed to stop her compulsive gambling. A federal judge in New Jersey dismissed the lawsuit in September, saying the casinos had no common-law duty to stop Taveras from gambling.

Taveras had sought $20 million from the casinos in Atlantic City and Las Vegas that gave her high-roller treatment, offering her limousine rides and allowing her to bring her dog inside in her purse. She claimed she would stay at the tables for days without sleeping and eating, using disposable wipes to brush her teeth.

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