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Self Regulation

Our financial crisis was realized because our legal system maintains self-serving monopoly control over the regulation of misconduct by lawyers. Each of the financial schemes which contributed to the financial crisis could not have been executed but for the participation of countless lawyers. The largest drain on our nations economy is the implicit non-legislated tax imposed by our corrupted legal system. We see this tax in the form of explicit legal fees, reductions in the availability of goods and services, higher insurance costs, diversion of talent & energies into the self perpetuating legal bubble, and the enrichment of organized crime rings at the expense of productive citizenry.

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The California  Bar ("CA Bar") flip flopped a few times and ultimately decided that it did not have standing to investigate or prosecute ethical misconduct.  This document (CABAURHBDS157298.pdf) is the appeal of that outrageous notion. 
    A remarkable set of facts related to the alleged misconduct became apparant in conjunction with a request by the CA Bar for additional backing documents.  BankruptcyMisconduct.com makes no comment as to whether one or more persons within the CA Bar assisted in the efforts to bring the Respondents to justice by drawing attention to the Securities Violations issue.  As described in exhibit G, a copy of a communication to the CA Bar, the numerous contemporaneous ethics and securities violations were inextricably intertwined with the disclosure failures in the Aureal bankruptcy proceedings.  The disclosure failures before the bankruptcy court and in SEC filings are not only criminal, but in furtherance of each other.  Thus, for example, violations of 18 U.S.C. § 1001 in certain SEC filings were sustained by a coordinated failure to make parallel mandatory disclosure in the bankruptcy court.  We believe that the bankruptcy fraud is inseparable (intertwined) with securities fraud and by numerous statutes (18 U.S.C. §§'s 2,3,4) and case law envelopes all parties tangentially involved in assisting, planning, inducing, protecting, failing to report, or the cover-up.

Perhaps we shouldn't be too hard on the California State Bar.  Like every other state bar organization, the CA Bar gets their money from their lawyer members, and each bar admits that they perceive their role to assist their lawyer members.  How convenient then that each of these bar orgs hold monopoloy power over the investigation and prosecution of attorney misconduct complaints.  Worse, many of these bar orgs operate under strict secrecy including the complaints (not public in contrast with non-lawyers), their deliberations, and the identities of those making rulings.  In any other profession this would be called a conflict of interest.  We shouldn't be too surprised that the California Bar did everything they could to get out of prosecuting this Complaint and Revised Complaint against HBD (Hennigan, Bennett & Dorman).  They went went so far as to claim, in writting bless their souls, that the CA Bar does not believe it holds jurisdiction to review complaints about attorney ethics and misconductAn outrageous notion which flies in the face of their stated mission, so we appealed the decision.  The brother lawyers sitting on the California State Supreme Court simply ignored the appeal.  Absolute power corrupts absolutely.  If we citizens want to transfer supreme rights and powers to lawyers and let them operate above the law, we should expect that they will steal ever greater portions of our moneys, dignity, & freedom.  Why should we hold baseball stars to stricter legal standards than lawyers?  Consider how many houses thay you own, and pity the bankruptcy lawyer who only owns two.
   Perhaps we shouldn't be too hard on the California Bar - they decided to move to prosecute this complaint at least twice (in writting bless their souls), before some invisible hand smacked them down.  Kind of like a politician who voted against the war before he voted for it.  Perhaps the most absurd notion is that we hold political candidates to a higher standard than lawyers.  What unseen force keeps the main stream media from reporting on the obvious corruption of our legal system?
Perhaps some lawyers working behind the scenes at the CA Bar should be thanked for directing efforts towards the SEC.

The Fox is Guarding the Hen House

Plus ... the Fox is writing insurance coverage for some wolves, so if an insured wolf gets caught harming a hen, the fox has to pay out some money.  Guess what?  Profits of the fox are maximized when none of the insured wolves get punished.

Who doesn't want to maximize profits?

Readers of BankruptcyMisconduct can immediately spot this as a conflict of interest.  How outrageous then that the Florida State Bar is in supporting exactly this sort of Fox Insuring The Wolves Attacking The Hen House absurdity:

The Florida Lawyers Mutual Insurance Company (FLMIC) provides malpractice insurance to Florida lawyers. 

  •  John Harkness is the Executive Director of The Florida Bar, and A Director of FLMIC.
  •  Juliet Roulhac is a Bar Governor and  a Director of FLMIC.
  •  Ramon Abadin is a Bar Governor and  a Director of FLMIC.

 We look forward to the appointment of a Federal Special Prosecutor to unravel the tightly wound corruption in many of our nations bar organizations.

Download for free: 2008_04-21-08_Lanson_v.+The_Florida_Bar_US_District_Court.pdf