Illinois Supreme Court disbars 10, suspends 19 in latest disciplinary filing

The Supreme Court of Illinois announced the filing of lawyer disciplinary orders on November 20, 2013, during the September Term of Court. Sanctions were imposed because the lawyers engaged in professional misconduct by violating state ethics law.

DISBARRED

• Karris A. Bilal, Plainfield

Mr. Bilal, who was licensed in 2000, was disbarred. He purposely took advantage of financially vulnerable clients in order to obtain excessive attorney’s fees in three different mortgage rescue matters.

• Richard Carl Frasco, Dallas, Texas

Mr. Frasco was licensed in Illinois in 1974 and in Texas in 1985. He was disbarred in Texas for mishandling the legal matters of two clients, converting $5,740 of settlement funds from one of those clients, and failing to participate in either of the two disciplinary proceedings against him. The Supreme Court of Illinois imposed reciprocal discipline and disbarred him.

• Hunter Hogan, Mount Carroll

Mr. Hogan, who was licensed in Illinois in 2008, was disbarred.  While employed as an assistant state’s attorney in Carroll County, he pursued a personal relationship with a 19-year-old woman he had prosecuted as a criminal defendant.  He also pursued a personal relationship with a 17-year-old girl who was the victim in a child pornography case he prosecuted on behalf of the State, and he engaged in criminal conduct with the victim. He did not participate in his disciplinary hearing. He was suspended on an interim basis on March 28, 2013.

• Robert A. Huff, Chicago

Mr. Huff, who was licensed in 1997, was disbarred. He was convicted in a federal court in Wisconsin of conspiracy to distribute 1,000 kilograms or more of marijuana. He was suspended on an interim basis on January 24, 2012.  

• Erwin R.E. Jansen, Jr., Lanham, Maryland

Mr. Jansen was licensed in Illinois in 1995 and in Maryland in 2002. He was disbarred in Maryland for misusing fiduciary and client funds. The Supreme Court of Illinois imposed reciprocal discipline and disbarred him.

• Timothy Kurt Liou, Chicago

Mr. Liou, who was licensed in 1995, was disbarred on consent. He repeatedly placed his own financial interests ahead of his bankruptcy clients by filing bankruptcy petitions providing for the highest fees to him to the disadvantage to his clients. He also made false statements in federal bankruptcy filings, including false claims and assignments of debt, and testified falsely during a disciplinary hearing held before the United States Bankruptcy Court for the Northern District of Illinois. He was permanently suspended from practicing law before the Bankruptcy Court, effective August 30, 2013.

• Kathleen Irene Niew, Oak Brook

Ms. Niew, who was licensed in 1981, was disbarred. She was entrusted with $2.34 million belonging to a couple that she represented pending their purchase of three buildings. She misappropriated all of the funds and then made multiple misrepresentations to her clients, the sellers of the properties, and the sellers’ attorneys and real estate agents regarding the status of the funds. She was suspended on an interim basis on May 7, 2013.

• James E. Pancratz, Palos Park

Mr. Pancratz, who was licensed in 1983, was disbarred. He misappropriated at least $886,570 from two minor children after settling a wrongful death action on their behalf following the death of their mother. He then abandoned his law practice. Mr. Pancratz failed to appear at his disciplinary hearing.

• James August Stamos, Chicago

Mr. Stamos, who was licensed in Illinois in 1965, was disbarred. He misappropriated nearly $28,000 from two personal injury clients.

• Jeff Terronez, Moline

Mr. Terronez, who was licensed in 1997, was disbarred. While serving as the State’s Attorney of Rock Island County, he furnished alcohol to a minor and then lied to police authorities who were investigating the matter. The minor had been the victim of sexual assault by one of her teachers. Mr. Terronez had prosecuted the girl’s teacher but then began a personal relationship with the girl that included sending her sexually-charged text messages. He was suspended on an interim basis on October 12, 2011.

SUSPENDED

• Steven J. Bahrmasel, Chicago

Mr. Bahrmasel, who was licensed in 1971, was suspended for two years and until he successfully completes the ARDC Professionalism Seminar. He neglected three client matters, was not candid to clients in two of those matters, converted approximately $12,000 in an estate matter, and was not truthful to another attorney during the course of the estate matter. The suspension is effective on December 11, 2013.

• Herbert Arthur Bates, Chicago

Mr. Bates, who was licensed in 1980, was suspended for 18 months and until further order of the Court. He neglected a criminal appeal and made numerous misrepresentations to the client and the client’s mother about the status of the case.

• Alvin George Brooks, Jr., Chicago

Mr. Brooks, who was licensed in 1983, was suspended for one year. In connection with a real estate transaction, he facilitated the fraudulent transfer of property, resulting in a financial loss to both his client and a lender.

• James Merle Childs, Jr., Chicago

Mr. Childs, who was licensed in 1978, was suspended for one year and until further order of the Court.  In connection with a sale-leaseback transaction where his financially unsophisticated client was about to lose his home for failing to pay real estate taxes, he allowed others to financially exploit the client.

• Karim G. Dure, Evanston

Mr. Duré, who was licensed in 1999, was suspended for one year and until he makes certain restitution. He represented three different homeowners, all of whom were having difficulty paying their mortgage, in an effort to either modify the client’s mortgage terms and/or defend against a foreclosure action. In each instance, he received fees, but then failed to communicate with the clients, defend against any foreclosure action, or return unearned fees following the termination of his services. The suspension is effective on December 11, 2013.  

• Gene Kenneth Edlin, Chicago

Mr. Edlin, who was licensed in 1962, was suspended for ninety days. He mismanaged a total of $5,299 in client funds in two different real estate matters. The suspension is effective on December 11, 2013.

• Neil Phillip Gantz, Chicago

Mr. Gantz, who was licensed in 1971, was suspended for three months. He converted $2,106 by utilizing one client’s funds to partially pay the settlement for another client’s matter and made misrepresentations to that second client about the status of her claims in a lease dispute. The suspension is effective on December 11, 2013.

• Stephen Edward Garcia, Northfield

Mr. Garcia, who was licensed in 1987, was suspended for two years. He was convicted in federal court in Utah of the felony of giving a false bankruptcy oath based on his having failed to disclose to the court, for a 17-month period, his investment in a land development deal, and falsely stating that another person handled all aspects of the land development including all legal and business matters. The suspension is effective on December 11, 2013.

• Thaddeus Stanley Gauza, Chicago

Mr. Gauza, who was licensed in 1987, was suspended for five months and until he completes the ARDC Professionalism Seminar. Acting at the bequest of an acquaintance, he represented the purported sellers in a residential real estate transaction that turned out to be an attempted fraud on the true owners of the property. He also pled guilty to domestic battery and violated an order of protection. The suspension is effective on December 11, 2013. 

• Zachary Hamilton, South Holland

Mr. Hamilton, who was licensed in 1995, was suspended for two years, with the suspension stayed in its entirety by a two-year period of probation. During a two-year period, Mr. Hamilton submitted three checks drawn on his client trust and operating accounts to pay various fees for his clients to the United States Patent and Trademark Office. Each check was later returned for insufficient funds. During that time, he also commingled his personal funds with funds he was holding for clients.

• Terry W. Huebner, Hinsdale

Mr. Huebner, who was licensed in 1992, was suspended on an interim basis and until further order of Court. An ARDC Hearing Board panel earlier recommended that he be disbarred after finding that he had converted $100,000 in escrow proceeds.

• Logan Truax Johnston, III, Phoenix, Ariz.

Mr. Johnston was licensed in Illinois in 1973 and in Arizona in 1984. He was suspended in Arizona for six months, with the suspension deemed served by a previously-concluded interim suspension, and he was placed on a two-year period of conditional probation. He had four separate convictions of driving under the influence of alcohol between January 2001 and May 2010. The Supreme Court of Illinois imposed reciprocal discipline and suspended him for six months, with the suspension fully stayed by a two-year period of conditional probation.

• Robert James Kennedy, Chicago

Mr. Kennedy, who was licensed in 1971, was suspended for thirty days and must successfully complete the ARDC Professionalism Seminar. He deposited the proceeds from the sale of a client’s real property into his operating account, instead of a client fund account, and then used some of the proceeds for his own business and personal purposes. 

• Irwin Elliot Leiter, Buffalo Grove

Mr. Leiter, who was licensed in 1977, was suspended for three years and until further order of the Court.  He paid himself at least $172,515.75 as fees for services for an elderly and bedridden client for work that did not require any legal expertise. He also converted funds from that client’s bank account after she died.

• Chester W. Nosal, Washington, D.C.

Mr. Nosal, who was licensed in 1970, was suspended for two years and until further order of the Court. He engaged in conflicts of interest when he entered into loan transactions with a corporate client without making proper disclosures. In addition, he made false statements to a court and to the ARDC, and did not cooperate with the ARDC investigation. Mr. Nosal failed to appear at his disciplinary hearing.

• Roy Austin Petty, Rogers, Ark.

Mr. Petty, who was licensed in 1984, was suspended for thirty days. He neglected three separate immigration proceedings by missing a court date in one matter and failing to file pleadings on behalf of the clients in the other two matters. The suspension is effective on December 11, 2013.

• Wanda Marie Rodgers-Hayes, Merrillville, Ind.

Ms. Rodgers-Hayes, who was licensed in 1995, was suspended for ninety days and until she makes certain restitution. She failed to pursue a sexual harassment claim for a client, made misrepresentations to that client about the status of her matter, did not refund the client’s fee, and made misrepresentations to the ARDC regarding her conduct. The suspension is effective on December 11, 2013.

• Manton Lawrence Selby, San Francisco, Calif.

Mr. Selby was licensed in Illinois in 1968 and in California in 1969. He was suspended in California for three years, with the suspension stayed after eighteen months by a four-year period of probation subject to conditions. He failed to diligently prosecute two different civil matters for clients and failed to refund unearned fees. The Supreme Court of Illinois imposed reciprocal discipline and he was suspended for eighteen months and until he is reinstated in California. The suspension is effective on December 11, 2013.

• Jennifer Cynthia Smetters, Chicago

Ms. Smetters, who was licensed in 1999, was suspended for sixty days. She failed to diligently represent three separate clients in their legal matters, respond to their requests for information, or make timely refunds of unearned legal fees in connection with two of the matters. She also initially failed to cooperate with the ARDC when her misconduct was being investigated. The suspension is effective on December 11, 2013.

CENSURED

• Ernesto Dos Reis Borges, Jr., Chicago

Mr. Borges, who was licensed in 1985, was censured and must successfully complete the ARDC Professionalism Seminar. He neglected a legal matter entrusted to his law firm.

REPRIMANDED

• Matthew Daniel Hatch, Bettendorf, Iowa

Mr. Hatch was licensed in Illinois in 1990 and in Iowa in 1991. He was publicly reprimanded in Iowa for failing to deposit into a client trust account legal fees and expenses that had been paid to him in advance. He also failed to render required accountings. The Supreme Court of Illinois imposed reciprocal discipline and he was reprimanded.