Tom Girardi is known for taking on the case that inspired ‘Erin Brockovich’ flick
A jury in Los Angeles has found Thomas Girardi – a disbarred personal injury lawyer from Seal Beach in Orange County, California – guilty of four counts of wire fraud. Girardi used to run Girardi & Keese, a now defunct firm.
“Tom Girardi built celebrity status and lured in victims by falsely portraying himself as a ‘Champion of Justice,’” said Martin Estrada, U.S. attorney for the Central District of California, in a news release. “In reality, he was a Robin-Hood-in-reverse, stealing from the needy to support a lavish, Hollywood lifestyle.”
Girardi faces the possibility of a 20-year statutory maximum sentence for each count. A sentencing hearing set for Dec. 6 will decide the length of time that he will serve in federal prison.
“Girardi falsely promoted himself in the media as a pillar of the legal community with a heightened sense of justice, but the clients he wronged for many years have now found actual justice in today’s verdict,” said Akil Davis, assistant director in charge of the Federal Bureau of Investigation’s Los Angeles field office, in the news release.
The verdict marked the conclusion of a 13-day trial centred on Girardi’s involvement in an alleged decade-long scheme to misappropriate and embezzle settlement funds totalling tens of millions of US dollars from the trust accounts of his clients, including those awaiting payments relating to serious personal injury claims.
“Girardi exploited his clients’ misfortunes on a grand scale,” said Tyler Hatcher, special agent in charge for IRS Criminal Investigation in the Los Angeles field office, in the news release. “His clients sought his help in the wake of significant trauma and injury, yet he violated their trust to steal from them and fund his own lavish lifestyle, and he will now face the consequences of his actions.”
To cover up the so-called scheme, Girardi allegedly lied to the firm’s clients, falsely denied that the settlement proceeds had been paid, and falsely claimed that clients had to comply with requirements relating to bankruptcy claim settlement, tax obligations, debt satisfaction, and judicial authorizations to ensure the payment of these proceeds.
Alleged misappropriation
The funds diverted from Girardi Keese’s operating account allegedly paid for illegitimate expenses. These allegedly included the expenses of his wife’s entertainment company and expenses for private jet travel, jewelry, luxury vehicles, and exclusive golf and social clubs.
“Girardi is the estranged husband of Erika Girardi, who has appeared on The Real Housewives of Beverly Hills reality TV show,” noted an article of the ABA Journal, a magazine of the American Bar Association. “In the case portrayed in Erin Brockovich, Girardi was on the legal team that secured a [US]$333 million settlement for groundwater contamination.”
By 2021, Girardi Keese was forced into involuntary bankruptcy. California’s state bar disbarred Girardi in July 2022.
Christopher Kamon, the firm’s then chief financial officer, is Girardi’s co-defendant in this case. The criminal complaint accused Kamon of aiding and abetting the fraudulent scheme and of likewise embezzling millions of US dollars from the firm’s accounts for his personal interests. His trial is scheduled for next January.
Alongside Girardi and Kamon, David Lira will deal with federal fraud charges in Chicago. The trial in this matter is set for next March. Lira is Girardi’s son-in-law and a former lawyer at Girardi Keese.
Source: thelawyermag.com
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