Lawyer Heading to Jail for Ripping Off Printer
EAST ROCK, CT—An attorney supervising the bankruptcy court proceedings of a printing company here will spend the next 18 months in prison for skimming more than $11,000 in the process. Attorney Michael J. Daly pleaded guilty to stealing the money from Lehman Bros., a now-defunct engraver of high-end stationery, the New Haven Independent reported.
Lehman Bros. closed its doors in December of 2008 when it converted from Chapter 11 to Chapter 7 bankruptcy. Daly was appointed bankruptcy trustee of the estate and oversaw the liquidation of the printer's equipment. He started the process of auctioning off the property before another trustee took over the case, the paper said.
Daly is also accused of embezzling $16,500 from two other estates and stealing $22,000 in jewelry from another. In addition, the lawyer has been accused of submitting about $73,650 in false time records relating to work done on behalf of another estate.
Following his prison time, Daly faces three years of supervised release. He must pay a $15,000 fine and give up his license to practice law.