Bar suspends South Lake attorney for 3 years
Bar suspends South Lake attorney for 3 years
Staff Report
The Florida Bar has suspended a Clermont attorney for three years for misappropriating $14,000 because he said business was slow.
Ryan Scott Hobby, 836 W. Montrose St., Suite 1, was suspended retroactive to Oct. 6, 2011, from practicing law in Florida. The Bar said Hobby made improper transfers from his client's trust fund account to another bank account.
On or about July 29, 2011, SunTrust Bank sent the Bar a notice indicating that a check for $408 was presented to the bank when the balance on deposit in the trust account was only $105.29. The check was paid, resulting in an overdraft of $302.13.
The Bar initiated an audit on the trust account and sought all trust account records on Aug. 9, 2011. In response, Hobby, through counsel, admitted that he made 13 "improper transfers" from his trust bank account to another bank account during the period April 4, 2011, through Aug. 9, 2011, ranging from $500 to $2,000, totaling $14,250.
"Respondent testified that his business began to slow toward the end of 2010 and that the improper transfer of funds from his trust account to his operating account were made to keep his law practice going," The Bar said.
However, in addition to paying business expenses, Hobby's operating bank statements reflected that, among other expenditures, he used the money for things such as medical bills, fast food, groceries and moving expenses, The Bar said.
This included approximately $1,720 spent at establishments such as Starbucks, Chick-Fil-A, McDonalds and other restaurants; $265 spent for eye care; $210 spent for pet care; $195 spent for child care, and $40 spent for car washes.
Hobby later replaced $13,602 of the misappropriated funds using a loan from his parents. He did not contest The Bar's disciplinary action.
In addition to the suspension, The Bar said Hobby must stop disbursing or withdrawing any monies from any trust account related to his practice; furnish a copy of his suspension order to all clients, opposing counsel and courts; and furnish a copy of that order to any bank or financial institution where he maintains an account related to the practice of law.
A lawyer for six years, Hobby mainly practices family law.
Friday, December 28, 2012 - www.dailycommercial.com/28dec2012bar