Appellate Division: Second Judicial Department

M81190

E/cb

A. GAIL PRUDENTI, P.J.

REINALDO E. RIVERA

ROBERT A. SPOLZINO

PETER B. SKELOS

STEVEN W. FISHER, JJ.

2008-10532 In the Matter of Edward A. Christensen, an attorney and counselor-at-law. Grievance Committee for the Tenth Judicial District, petitioner; Edward A. Christensen, respondent. (Attorney Registration No. 2265494)

DECISION & ORDER ON MOTION

Motion by the Grievance Committee for the Tenth Judicial District for an order: (1) suspending the respondent from the practice of law, pursuant to 22 NYCRR 691.4(l)(1)(i) and (iii), upon a finding that he is guilty of professional misconduct immediately threatening the public interest; and (2) appointing an inventory attorney pursuant to 22 NYCRR 691.10(k) to take custody and inventory the respondent's files and to take such action as seems indicated to protect the interests of his clients upon a finding that the respondent has abandoned his practice. The respondent was admitted to the Bar at a term of the Appellate Division of the Supreme Court in the Second Judicial Department on August 1, 1984.

Upon the papers submitted in support of the motion and no papers having been submitted in opposition or in relation thereto, it is

ORDERED that the motion is granted; and it is further,

ORDERED that pursuant to 22 NYCRR 691.4(l)(1)(i) and (iii), the respondent, Edward A. Christensen, is immediately suspended from the practice of law in the State of New York, pending further order of the court; and it is further,

ORDERED that the respondent Edward A. Christensen, shall promptly comply with this court's rules governing the conduct of disbarred, suspended, and resigned attorneys (see 22 NYCRR 691.10); and it is further,

ORDERED that pursuant to Judiciary Law §90, during the period of suspension and until further order of this court, the respondent, Edward A. Christensen, is commanded to desist and refrain from (1) practicing law in any form, either as principal or agent, clerk, or employee of another, (2) appearing as an attorney or counselor-at-law before any court, Judge, Justice, board, commission, or other public authority, (3) giving to another an opinion as to the law or its application or any advice in relation thereto, and (4) holding himself out in any way as an attorney and counselor-at-law; and it is further,

ORDERED that Robert Guido, of the Office of Special Counsel, 30 E. Hoffman Ave., Lindenhurst, N. Y. 11757, is appointed as an inventory attorney, pursuant to 22 NYCRR 691.10(k), to: (1) take custody of and inventory the respondent's files and return them to his former clients, (2) take custody of and safeguard the records of any business, escrow, trust, or special bank account of the respondent, (3) receive, open, and read mail addressed to the respondent at the respondent's former place of business, and (4) take such further action as is deemed proper and advisable to protect the interests of the respondent's former clients in discharging the aforesaid duties, and secondarily, the interests of the respondent attorney; and it is further,

ORDERED that on the court's motion, the Grievance Committee for the Tenth Judicial District is hereby authorized to institute and prosecute a disciplinary proceeding in this court, against the respondent, Edward A. Christensen; and it is further,

ORDERED that Rita E. Adler, Chief Counsel, Grievance Committee for the Tenth Judicial District, 150 Motor Parkway, Hauppauge, N.Y. 11788, is hereby appointed as attorney for the petitioner in such proceeding; and it is further,

ORDERED that the petitioner Grievance Committee shall serve upon the respondent and the Special Referee and file with this court the petition within 20 days after receipt of a copy of this decision and order on motion; and it is further,

ORDERED that the respondent, Edward A. Christensen, shall serve an answer on the petitioner and the Special Referee and file the original answer with this court within 20 days after service upon him of the petition; and it is further,

ORDERED that the issues raised by the petition and any answer thereto are referred to John F. Mulholland, Esq., 3 Mayflower Drive, Hicksville, N.Y. 11801, as Special Referee to hear and report, together with his findings on the issues, and to submit a report within 60 days after the conclusion of the hearing or the submission of post-hearing memoranda; and it is further,

ORDERED that service upon the respondent, Edward A. Christensen, of this order and any and all other papers and/or orders related to this proceeding, shall be effectuated as set forth in the order to show cause dated November 13, 2008, as follows:

1. By mailing any papers and/or orders to the respondent, Edward A. Christensen, at his business address for the practice at 127 South Street, Suite 2, Oyster Bay, New York 11771, by both regular mail and certified mail, return receipt requested;

2. By mailing a copy of any papers and/or orders to the respondent, Edward A. Christensen, at his residence at 7 New Street, Apartment 2C, Huntington, New York 11743, by both regular mail and certified mail, return receipt requested;

3. By affixing a copy of any papers and/or orders to the door of the respondent Edward A. Christensen's business address for the practice of law at 127 South Street, Suite 2, Oyster Bay, New York, 11771; and

4. By affixing a copy of any papers and/or orders to the door of the respondent Edward A. Christensen's residence at 7 New Street, Apartment 2C, Huntington, New York 11743.

We find, prima facie, that the respondent is guilty of professional misconduct immediately threatening the public interest based upon his failure to comply with lawful demands of the Grievance Committee for the Tenth Judicial District and other uncontroverted evidence of professional misconduct.

On or about July 1, 2008, the Grievance Committee received a complaint from Joseph Foley alleging that he had retained the respondent to represent him in two matters, that he paid the respondent $1,000 in legal fees, and that the respondent had neglected these matters and not communicated with Foley.

By letter dated July 11, 2008, the respondent was asked to submit a written response to Foley's complaint within 10 days of receipt of the letter. The respondent did not respond. By letter dated August 12, 2008, sent by certified mail, the respondent was asked to submit a written response. Postal records indicate that the letter was accepted for delivery on August 13, 2008. The respondent did not respond, nor did he respond to a subsequent letter request dated September 16, 2008, sent by certified mail.

On October 31, 2008, the Grievance Committee received a letter from Richard L. Hutchinson, Esq. forwarding a complaint on behalf of his client George Semke. Hutchinson's letter reported that the respondent was missing. Hutchinson stated:

"Edward A. Christensen has been a tenant in my law office in Oyster Bay for many years. He has not been present in his office since October 6, 2008, and his wife has advised me that she has not heard from him since October 16, 2008. She filed a missing person's report with the Suffolk County Police Department on or about Tuesday, October 21, 2008. He has made no contact with our office or his wife and children for several weeks now. Over the past several weeks, there have been many clients coming into our office looking for him and many of them have asked us how they can get their files. For those who had Court matters pending, we have advised them to immediately seek new counsel. Since Mr. Christensen is a tenant here, we do not have authority to go into his files, which are maintained in his office, and file cabinets which belong to him exclusively. Many of his clients are complaining that their cases have been dismissed or are going to be dismissed. Other clients have told us that he did not appear for trials and/or hearings. I am requesting some direction from you on what to tell Mr. Christensen's clients and how they can go about receiving their files."

It appears that the respondent has been suffering from depression. His estranged wife reported him missing.

With respect to Semke's complaint, the complaint alleged that pursuant to an escrow agreement dated November 27, 2007, $1 million was deposited into the respondent's attorney trust account at HSBC Bank, entitled "Edward A. Christensen Attorney Special IOLA Account." The $1 million represented funds in dispute between Thomas Moonis, as executor of the estate of Denise Moonis, and George Semke, Harran Transportation Company and other transportation companies. The funds were to be held by the respondent, who represented Harran Transportation, until the dispute was resolved.

The dispute over the funds resulted in an action entitled Moonis v Harran Transportation Company, Inc., commenced in the Supreme Court, Nassau County, under Index No. 4000/08. By order dated September 5, 2008, the Supreme Court, Nassau County, granted a motion to dismiss the complaint, thereby allowing the funds held in escrow by the respondent to be released.

Hutchinson made a demand upon the respondent for the release of $500,000 of the funds. By letter dated October 16, 2008, Anthony Giustino, Esq., attorney for Thomas Moonis, advised the respondent that Moonis consented to the release. The respondent failed to release the funds.

Hutchinson attempted to obtain a court order restraining HSBC Bank from disbursing any funds from the respondent's attorney trust account and to release the funds to the appropriate parties. By order to show cause dated October 27, 2008, the Supreme Court, Nassau County (Davis, J.) granted that portion of the order to show cause restraining the bank from disbursing the funds, but did not direct the release of the funds. The order to show cause was affixed to the respondent's residence and a copy was mailed to his residence by overnight mail. The respondent failed to appear on the return date, October 29, 2008, or the adjourned date of November 6, 2008.

On November 6, 2008, Grievance Counsel Michael Fuchs received a call from Justice Davis's law secretary, informing him that the restraining order was being continued and that the court was looking for guidance from the Appellate Division regarding release of the funds.

Hutchinson managed to obtain copies of bank statements for the respondent's attorney trust account at HSBC Bank. The statements indicate that as early as December 3, 2007, the respondent withdrew funds from his attorney trust account, causing the balance to fall below $1 million. The respondent made successive withdrawals thereafter, such that as on October 28, 2008, only $744,904.04 remained in the account. The $1 million in escrow funds have, therefore, not been preserved.

Hutchinson advised the Grievance Committee that a complaint had been filed with the Nassau County District Attorney's Office.

On or about November 3, 2008, a third complaint was filed by Anthony Giustino, Esq. on behalf of Thomas Moonis, containing allegations similar to that made by Semke.

As of the date of the Grievance Committee's application, November 12, 2008, the respondent has not been located.

Based on the foregoing, the Grievance Committee's motion is granted, the respondent is immediately suspended from the practice of law, pursuant to 22 NYCRR 691.4(l)(1)(i) and (iii), pending further order of this court, the Grievance Committee is authorized to institute and prosecute a disciplinary proceeding against him, the matter is referred to a Special Referee to hear and report, and the Office of Special Counsel, pursuant to 22 NYCRR 691.10(k), is appointed to take custody and inventory the respondent's files and to take such action as indicated to protect the interests of the respondent's clients.

PRUDENTI, P.J., RIVERA, SPOLZINO, SKELOS and FISHER, JJ., concur.

ENTER:

James Edward Pelzer

Clerk of the Court