Family: Lawyer Stole Money Left by Dying Father for Kids

Derek Tate had expected money from a $500,000 life insurance policy would help with things like college and weddings for his children after he died of cancer in 2007.

Instead, much of the money was drained by a Macomb County attorney from the trust fund set up to financially help Tate’s sons, authorities said.

Buschmohle, 40, was charged in February, accused of writing checks to himself over a four-year period from the trust fund. The boys’ mother complained to the Attorney Grievance Commission, which contacted Warren police, after Buschmohle failed to return her calls as the boys reached the fund distribution age of 19, authorities have said.

Stephen Tate said he believes the money went to Buschmohle’s family and friends.

Buschmohle was expected to plead no contest [5/29/13] to embezzlement of $100,000 or more, a 20-year felony, in Macomb County Circuit Court, but the plea did not go off.

Assistant Prosecutor Sian Hengeveld said there was some misunderstanding with the terms and conditions of the sentence the judge was going to give. She said the sentencing agreement was for one year in the county jail and $315,000 in restitution, with 10% due at or before sentencing.

She said the prosecution and defense agreed on the $315,000 figure but there was a separate agreement between the judge and the defense on the jail time. Hengeveld said the Prosecutor’s Office is not offering anything, including a plea offer, and “we are not in agreement with the sentence.”

Buschmohle was disbarred effective May 22 and ordered to pay more than $462,000 in restitution, according to a notice Friday of disbarment and restitution posted on the state Attorney Discipline Board’s website. He had a notice of reprimand and restitution from the board in 2009.

The notices did not detail specifics of the complaints.

Full Article and Source:
Family:  Lawyer Stole Money Left by Dying Father for Kids

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2 Responses to “Family: Lawyer Stole Money Left by Dying Father for Kids”

  1. Thelma Says:

    Maybe IOLTA or the state treasurer should hold all the money and not allow separate lawyer control.

  2. StandUp Says:

    Tate believes the money went to Buschmohle — he should be able to prove that by going over the accountings.

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