October 7, 2005
DILLON ANNOUNCES:
ARREST OF DISBARRED ATTORNEY
Nassau County District Attorney Denis Dillon announced today the arrest of disbarred attorney Joseph T. Martello, 42, of 20 Ogden Avenue, East Williston, on several charges of Grand Larceny in the Third and Fourth Degree. Martello is accused of stealing approximately $20,000 from his attorney escrow account.
According to Dillon, "The first four counts of grand larceny stem from Martello’s representation in an automobile accident that took place on April 11, 2004. In November 2004, a settlement was reached on his clients behalf in the sum of $25,000.00. Martello deposited these funds into his attorney escrow account with Citibank located in Uniondale, New York. In February 2005, Martello gave his client two separate checks totaling $6,707.90, purporting to represent her share of the settlement. One of these checks, totaling $3,707.90, bounced for insufficient funds in Mr. Martello’s escrow account. In addition, the investigation revealed that Martello improperly deducted $2,096.00 from his clients settlement for an alleged "lien" in favor of Winthrop-University Hospital which Martello never actually paid. Finally, the complaint alleges that Martello failed to pay two other creditors, a total of $7,215.34 representing actual liens against his client’s lawsuit."
"The last count of grand larceny stems from Martello’s representation of another former client in an automobile accident that took place on October 6, 2003," said Dillon. "On June 16, 2004, a settlement was reached on his clients behalf in the sum of $10,500.00. On June 28, 2004, Martello deposited the funds into his attorney escrow account with Citibank. Over the next several months, his client contacted Martello to obtain his share of the settlement, but Martello would not return his phone calls. To date, Martello has not dispersed any portion of the $10,500.00 settlement to his client."
Martello was disbarred on May 9, 2005 after tendering his resignation in November. His disbarment resulted from an investigation by the Grievance Committee involving allegations that Martello failed to preserve client funds on behalf of four other clients. In those cases, Martello is alleged to have misappropriated approximately $24,000.00 from his attorney escrow account. Before his disbarment, Martello maintained a law office at 1 EAB Plaza, Uniondale, New York 11555.
The top count, Grand larceny in the Third Degree, is a Class D felony punishable by up to seven years in prison.
The charges are merely accusations, and the defendant is presumed innocent until and unless proven guilty.
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