Former Oregon Attorney: Former Portland attorney Lori Deveny was found guilty of fraud and given a sentence of eight years in prison by a federal judge. The judge also ordered that she make restitution in the amount of $4.5 million. The prosecution claimed that Deveny took millions of dollars from her clients, many of whom had experienced severe brain damage in the past.
Former Oregon Attorney Given An 8-Year Jail Term For Stealing From Clients
Deveny, who apologized to her victims during Monday’s sentence hearing, stated that “if I could go back, I would take a different route” if she had the opportunity to do things over again.
In the past, Deveny has entered guilty pleas for federal crimes including mail fraud, wire fraud, bank fraud, aggravated identity theft, money laundering, and filing a false tax return. In May 2018, she gave up her legal license in the state of Oregon.
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According to the documents filed in the case, Deveny used the money she stole from her customers to pay for various vacations, including large game hunting expeditions in Africa, as well as the refurbishment of her home and the purchase of costly cigars.
It was alleged by the prosecutors that Deveny stole money from her customers by cashing the settlement checks that were received from their insurance.
During Monday’s sentence, Claire Fay, an assistant U.S. attorney for the state of Oregon, stated that the defendant “systematically robbed her victims โ not with a pistol and mask but with a pen and a legal license.”
Former Portland lawyer sentenced to 8 years in federal prison for embezzling from clients https://t.co/WpTRG15UbM
— KGW News (@KGWNews) January 10, 2023
According to the records filed with the court, Deveny was responsible for defrauding at least 135 customers out of a total of more than $4.5 million.
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As a direct response to the lawsuit, the Oregon State Bar increased the maximum amount of money that dishonest lawyers’ former clients are eligible to receive from the client security fund of the bar. Additionally, state legislators have enacted legislation that mandates insurance companies to notify beneficiaries when they deliver settlement payments. This is done to ensure that the client is aware of the availability of funds at the same time as the attorney.
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