May 2003
Clients' Security Fund assessment set at $0, committee disburses
$11,480
The Clients' Security Fund (CSF) Committee
approved reimbursing $11,480 to six victims of lawyer theft and set the
FY 04 assessment at $0 at its April 8 meeting. The disbursement is the
lowest it has been since 1997, which was the last time the assessment
was set at $0. The committee also deferred one and denied six claims for
reimbursement.
"A year ago the supreme court increased the fund's annual assessment
limit from $15 to $25 because we could not fund the claims we were
approving," says Wayne Maffei, committee chair. "The committee did not
assess the new maximum, instead it set the FY 03 assessment at $20,
which put the fund in a sound fiscal position. As a result, we were able
to set the FY 04 assessment at $0."
"In the last few years, several well-publicized incidents of theft
increased the public awareness of the fund, resulting in more claims,"
reports Maffei. "It doesn't necessarily mean that there
is more theft going on; it means we're doing our job - serving the
public interest and protecting clients."
Claims were approved for clients of Robert Parent, Green Bay (two
claims totaling $2,700); John Sanborn, Beloit (one claim for $2,675);
Lee C. Erlandson, Green Bay (one claim for $1,305); Anne Shindell, San
Antonio (one claim for $2,800); and John F. Scanlan, Ellison Bay (one
claim for $2,000).
The Wisconsin Supreme Court established the fund in 1981 to reimburse
people who lost money through dishonest acts of Wisconsin attorneys,
including unearned retainers, theft from estates, misappropriation of
funds, conversion of trust account funds, and theft by investment.
Reimbursement decisions are made at the discretion of the committee. All
claims for reimbursement and all proceedings of the committee are
subject to the provisions of SCR 12.04.
The next meeting is scheduled for Sept.23.
Inside the Bar
