Attorney faces charges of mail, wire fraud

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A federal grand jury in Hammond has indicted a Schererville attorney with two counts of wire fraud and one count of mail fraud after being accused of stealing money from two clients.

William G. Crabtree II is alleged to have embezzled nearly $1 million from the two clients. According to the indictment filed Oct. 15, Crabtree represented in 2005 an estate, from which he embezzled at least $300,000; he also allegedly failed to pay its state and federal taxes. After the theft was discovered, he agreed to pay restitution to the estate, including interest and penalties for taxes.

The indictment also alleges Crabtree devised a scheme this year to defraud and obtain money and property from another client in order to pay the restitution from his 2005 incident.

Crabtree's law firm trust account held $1.8 million from a client he represented in the sale of a restaurant, and Crabtree was instructed to hold the money until the client could purchase another restaurant. In July, Crabtree was to wire $1.7 million for the purchase of another restaurant; instead, Crabtree only wired $168,721. He wired $746,300 from the firm's trust account to another lawyer's trust account to make restitution. Crabtree also allegedly wrote himself a check from the restaurant client's funds for $135,000. In August, Crabtree admitted to the client he didn't have the money in the fund but would obtain a loan to repay the client.

Then, Crabtree allegedly faxed a copy of a check for $1.2 million to the client's attorney claiming he obtained a loan; the check was a fake.

The charges are a result of an investigation by the Federal Bureau of Investigation. Because of the charges, the Indiana Supreme Court Disciplinary Commission filed a petition for an emergency interim suspension Oct. 15 against Crabtree, said Executive Director Donald Lundberg.

Crabtree was arrested and arraigned Oct. 16 and pleaded not guilty, said Mary L. Hatton, public affairs specialist in the U.S. Attorney's Office, Northern District of Indiana. His trial has been set for Jan. 5, 2009.


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  1. I think the cops are doing a great job locking up criminals. The Murder rates in the inner cities are skyrocketing and you think that too any people are being incarcerated. Maybe we need to lock up more of them. We have the ACLU, BLM, NAACP, Civil right Division of the DOJ, the innocent Project etc. We have court system with an appeal process that can go on for years, with attorneys supplied by the government. I'm confused as to how that translates into the idea that the defendants are not being represented properly. Maybe the attorneys need to do more Pro-Bono work

  2. We do not have 10% of our population (which would mean about 32 million) incarcerated. It's closer to 2%.

  3. If a class action suit or other manner of retribution is possible, count me in. I have email and voicemail from the man. He colluded with opposing counsel, I am certain. My case was damaged so severely it nearly lost me everything and I am still paying dearly.

  4. There's probably a lot of blame that can be cast around for Indiana Tech's abysmal bar passage rate this last February. The folks who decided that Indiana, a state with roughly 16,000 to 18,000 attorneys, needs a fifth law school need to question the motives that drove their support of this project. Others, who have been "strong supporters" of the law school, should likewise ask themselves why they believe this institution should be supported. Is it because it fills some real need in the state? Or is it, instead, nothing more than a resume builder for those who teach there part-time? And others who make excuses for the students' poor performance, especially those who offer nothing more than conspiracy theories to back up their claims--who are they helping? What evidence do they have to support their posturing? Ultimately, though, like most everything in life, whether one succeeds or fails is entirely within one's own hands. At least one student from Indiana Tech proved this when he/she took and passed the February bar. A second Indiana Tech student proved this when they took the bar in another state and passed. As for the remaining 9 who took the bar and didn't pass (apparently, one of the students successfully appealed his/her original score), it's now up to them (and nobody else) to ensure that they pass on their second attempt. These folks should feel no shame; many currently successful practicing attorneys failed the bar exam on their first try. These same attorneys picked themselves up, dusted themselves off, and got back to the rigorous study needed to ensure they would pass on their second go 'round. This is what the Indiana Tech students who didn't pass the first time need to do. Of course, none of this answers such questions as whether Indiana Tech should be accredited by the ABA, whether the school should keep its doors open, or, most importantly, whether it should have even opened its doors in the first place. Those who promoted the idea of a fifth law school in Indiana need to do a lot of soul-searching regarding their decisions. These same people should never be allowed, again, to have a say about the future of legal education in this state or anywhere else. Indiana already has four law schools. That's probably one more than it really needs. But it's more than enough.

  5. This man Steve Hubbard goes on any online post or forum he can find and tries to push his company. He said court reporters would be obsolete a few years ago, yet here we are. How does he have time to search out every single post about court reporters and even spy in private court reporting forums if his company is so successful???? Dude, get a life. And back to what this post was about, I agree that some national firms cause a huge problem.