Clients' Security Fund



32 Victims of Attorney Theft Awarded More Than $196,000 By Clients' Security Fund
Lawyers' Fund Has Awarded Over $5 Million to Consumers Since Inception

FOR IMMEDIATE RELEASE
Contact: Janet Green Marbley
614.387.9390

COLUMBUS, OHIO (September 23, 2002) -- The Board of Commissioners of the Clients' Security Fund of Ohio (CSF), met on Monday, Sept. 23, 2002 and awarded $196,858 to 32 victims of attorney theft. Nine former or suspended Ohio attorneys were found to have misappropriated client funds.

Former Dayton attorney Fuad B. Nasrallah, Jr. accepted fees from seventeen of his former clients but failed to provide the services requested. The CSF Board awarded a total of $46,116 to Mr. Nasrallah's former clients. Mr. Nasrallah was disbarred by the Supreme Court of Ohio on Jan. 16, 2002. As a result of his disbarment, Mr. Nasrallah cannot practice law in the state of Ohio.

Two former law clients of former Fairborn Municipal Court Judge Joe R. Fodal were awarded a total of $1,057 as a result of his failure to provide the legal services requested. Fodal served as judge from 1990 to 1996, when he was defeated in his bid for re-election. Prior to his judgeship, he spent 17 years as the prosecuting attorney for Fairborn, Beavercreek, and Bath Township. In June 2001, the Supreme Court of Ohio indefinitely suspended Mr. Fodal's license to practice law.

A former client of disbarred Youngstown attorney Richard Goldbergwas awarded $50,000 as a result of his theft of settlement funds. In August 1999, Goldberg pled guilty to charges that he defrauded at least $4.4 million from 23 clients between 1993 and 1999. Mr. Goldberg was originally sentenced to 41 months imprisonment; however his sentence was increased to 57 months due to a violation of Goldberg's agreement with prosecutors. He was also ordered to make restitution to his former clients.

More than $84,000 was awarded to beneficiaries of an estate represented by late Trumbull County attorney Kenneth Inskeep. An investigation conducted by Trumbull County Probate Court found money missing from several estates represented by Mr. Inskeep. A former assistant county prosecutor, Mr. Inskeep committed suicide in December 2000.

The CSF awarded a total of $1,449 to four former law clients of disbarred attorney Alfred Dahling as a result of his failure to file bankruptcy actions on their behalf. Mr. Dahling, a former judge who is now deceased, practiced law in Lake, Ashtabula, and Trumbull counties. By order dated Oct. 25, 2000, the Supreme Court of Ohio permanently disbarred Mr. Dahling from the practice of law in Ohio. Mr. Dahling passed away on Jan. 20, 2001.

Suspended Clark County attorney David Barnett was found to have converted $10,000 belonging to one of his former clients. Mr. Barnett's license to practice law in Ohio was indefinitely suspended on April 18, 2001.

A former client of deceased attorney Steven L. Howland was awarded $2,050 for services that Mr. Howland failed to provide prior to his death. Mr. Howland passed away in December 2000. Mr. Howland formerly practiced in Cuyahoga County. At the time of his death, disciplinary proceedings against Mr. Howland were pending in the Supreme Court of Ohio.

The CSF Board of Commissioners also reimbursed former clients of Franklin County attorneys Thomas J. Foster and Charles E. Smith. The Board awarded $500 to each client, finding that both Foster and Smith accepted the fees but then failed to provide the legal services requested. Mr. Smith's license to practice law was suspended on May 23, 2002, and Mr. Foster was indefinitely suspended from the practice of law on July 18, 2001.

The CSF was created in 1985 by the Supreme Court of Ohio to compensate victims of attorney theft. The CSF is not taxpayer funded, but funded entirely by registration fees paid by every Ohio attorney. Ohio has over 37,000 attorneys engaged in the active practice of law. Less than one tenth of one percent (1%) of those attorneys are involved in CSF claims.

Law clients who believe they have sustained financial losses resulting from attorney theft, embezzlement or misappropriation should contact the CSF by calling 614.387.93900 or 1.800.231.1680 toll free in Ohio.

• 65 South Front Street Columbus, Ohio 43215-3431 •