NY real estate lawyer Kossoff gets up to 13.5 years for theft of client funds

An vacant courtroom is observed at the New York Condition Supreme Courtroom in Manhattan, New York City, U.S., August 21, 2020. REUTERS/Andrew Kelly

(Reuters) – Mitchell Kossoff, the outstanding New York true estate legal professional accused of emptying more than $14.6 million out of accounts keeping clients’ money, was sentenced in Manhattan point out court docket Friday to between 4.5 and 13.5 several years in prison.

The Manhattan district attorney’s workplace confirmed the sentence and reported Kossoff, 68, who was charged and pleaded responsible to just one depend of fraud and a few counts of grand larceny, ought to repay the far more than $14.6 million he took.

Kossoff’s lawyer called the sentence “just” and claimed Kossoff instructed the court docket he will dedicate his remaining life to remedying destruction brought about by his conduct.

His sentence was in line with the recommendation in his December 2021 plea arrangement.

According to prosecutors, from 2017 to 2021, Kossoff stole escrow cash from at least 35 of the clientele from his now-shuttered law business Kossoff PLLC.

Prosecutors reported Kossoff typically applied revenue from a person client to shell out off yet another.

He allegedly emptied $2.425 million in resources that belonged to shopper 118 Duane LLC, $241,966 that belonged to Ambassador Lodge LLC and all but $56,584 in escrow resources belonging to Irwin Ostrega.

His organization, which was pressured into bankruptcy in Might 2021, owes much more than $28 million to its previous shoppers and other creditors. Individuals bankruptcy proceedings are ongoing.

Kossoff was disbarred in March of this calendar year and he has also surrendered a condominium in Highlands, New Jersey, according to the Manhattan district attorney’s place of work.

“His actions betray the benchmarks that we as lawyers are taught from the incredibly commencing of our careers and will not be tolerated,” stated District Attorney Alvin Bragg in a statement Friday.

The circumstance is New York v. Mitchell Kossoff, New York Supreme Courtroom, No. SCI-71214-21.

For New York: Assistant District Lawyers Ryan Gee and Catherine McCaw

For Kossoff: Walter Mack of Doar Rieck Kaley & Mack

Browse Additional:

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