A former Crowell & Moring associate who admitted last year to embezzling more than $10 million from clients was disbarred yesterday by a unanimous panel of the Appellate Division, First Department. Douglas Arnsten pleaded guilty on Oct. 2, 2012, to three counts of first-degree grand larceny and one count of first-degree scheme to defraud, both felonies. On Oct. 17, he was sentenced to four to 12 years in prison and ordered to pay $10.7 million in restitution. The felony convictions trigger automatic disbarment under Judiciary Law §90(4)(b).
Arnsten stole the money from two corporate clients, investment fund Doina Capital and real estate management company Regal Real Estate. He used the money to make loans and investments, go to sporting events, restaurants and strip clubs, and to buy businesses, including a laundromat and cookie and potato chip distributorships.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
