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NY Court of Appeals Upholds Suspension of Lawyer Whose Brother Stole Money

published February 21, 2013

By Author - LawCrossing
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( 22 votes, average: 4.9 out of 5)
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02/21/13

NY Court of Appeals Upholds Suspension of Peter Galasso whose brother stole money
On Tuesday, the New York Court of Appeals declined, without explanation, to hear the appeal against the suspension of Peter Galasso, which had been stayed pending appeal. Peter Galasso has been suspended for the acts of his brother, who worked in his law firm and stole about $4 million from the escrow accounts of the law firm. Though no connivance has been proved, Peter has been held guilty for failing in his duties and professional obligations.


Peter’s brother, Anthony Galasso had worked as a bookkeeper for Peter’s law firm, and between 2004 and 2007, diverted client funds from the law firm’s accounts to his personal pocket on a regular basis. Between the years, Anthony diverted more than $4 million, and also took all efforts to cover his tracks methodically.

In 2007, Anthony Galasso confessed to stealing the money and was sentenced to prison on charges including the falsification of business records and grand larceny. He was paroled in July 2012, but the system was not done with his brother, who was a matrimonial lawyer in New York.

The Grievance Committee for the 9th Judicial District brought charges of professional misconduct against Peter Galasso on the grounds that he had failed in his duties and obligations to protect clients’ money. Last year, the Appellate Division second department, sustained all 10 charges and suspended Peter for two years from professional law practice.

Upon appeal, the Court of Appeals vacated one of the charges against him and reduced the total count to nine charges from the earlier ten. The case was then remanded to the Second Department for further proceedings. The Second Department was also asked to reconsider on the appropriateness of the punishment.

The Second Department refused to budge from its stand, and Galasso sought leave to Appeal. However, on Tuesday, the Court of Appeals declined to hear the matter.

The case is In the Matter of Galasso, New York State Supreme Court, Appellate Division, Second Department, No. 2010-01047.

published February 21, 2013

By Author - LawCrossing
( 22 votes, average: 4.9 out of 5)
What do you think about this article? Rate it using the stars above and let us know what you think in the comments below.

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