Louisiana: Lawyer Disbarred for Tax Fraud and Misrepresentation to Clients

Link for opinion: http://www.lasc.org/opinions/2010/10B0593.pc.pdf

In re Thomas, 38 So. 3d 248 (La. 2010), the Louisiana Supreme Court permanently disbarred a lawyer for repeatedly committing tax fraud and making false statements to clients. This followed the lawyer’s release from a thirty-six month prison term for previous tax evasion and misrepresentation charges.

The Louisiana Supreme Court affirmed that the lawyer was knowingly dishonest to clients and attempted to defraud the government by filing a false tax return and failing to pay taxes. The lawyer also displayed a pattern of misconduct to paying clients and the profession of law. The lawyer violated Louisiana Rules 8.4(b) and (c) of the Rules of Professional Conduct.

The lawyer also failed to pay restitution, and failed to admit to misrepresenting the clients. The court agreed that the lawyer intentionally deceived the Internal Revenue Service and the clients by not abiding by the Louisiana Rules of Professional Conduct and for filing a false tax return in violation of 26 U.S.C. § 7206(1).

This case demonstrates the importance of the lawyer’s duty under Louisiana Rule 8.4(b)(c) that states a lawyer shall not “commit a criminal act especially one that reflects adversely on the lawyer’s honesty, trustworthiness or fitness as a lawyer in other respects.” In addition, the rule states that a lawyer shall not “engage in conduct involving dishonesty, fraud, deceit or misrepresentation.”