$10,000,000 a year undeclared income by the Virginia State Bar

The $10 million a year "legal aid" shell game by the Virginia State Bar raises many corruption suspicions.

Why is the Virginia State bar's Annual Treasurers report intentionally omits the $10,000,000 income it receives from Virginia court filing fees?

http://www.vsb.org/site/about/79th_annual_report_2017

§ 17.1-278. Additional fees in certain courts; use by Virginia State Bar.

In addition to the fees prescribed by § 16.1-69.48:2 and subdivision A 13 of § 17.1-275 and to be collected by the clerk of the circuit or general district court upon the filing of papers for the commencement of civil actions in such courts, the following additional fees shall be collected in all cities and counties in which civil legal representation is provided for the poor, without charge, by a non-profit legal aid program organized under the auspices of the Virginia State Bar: (i) upon commencement of a civil action in such circuit court, an additional fee of $10 and (ii) upon commencement of a civil action in such general district court, an additional fee of $10.


The additional fees prescribed by this action shall be collected by the clerk at the time of the filing. The amounts so collected shall be paid by the clerk to the state treasury and credited as follows: (i) $9 to a special fund within the Virginia State Bar fund to be designated the Legal Aid Services Fund, and (ii) $1 to the general fund for funding of the district courts of the Commonwealth. Such amount for the district courts shall be used to assist indigent litigants. Such amounts credited to the Legal Aid Services Fund shall be disbursed by the Virginia State Bar by check from the State Treasurer upon a warrant of the Comptroller to non-profit legal aid programs organized under the auspices of the Virginia State Bar through the Legal Services Corporation of Virginia to assist in defraying the costs of such programs. However, the additional fees prescribed by this section shall not be collected in actions initiated by any local government or by the Commonwealth.

Whenever you hear the word "corporation" combined with "legal services" it rings a loud bell.

Why is the Virginia State Bar distributing the public's money, not attorneys' dues to private corporations and Non-Government Organizations?

Why are the Virginia General Assembly, Virginia Supreme Court and the other Virginia courts failing to distributing the Virginia Taxpayers' and the Public's funds directly to these private legal aid charities?

How much of Virginia Taxpayers' funds and the Public's funds paid to the Virginia State Treasurer are being wasted and squandered by the:

1. Private legal aid corporations;  and 

2.  Other private corporations by engaging in this shell game using the Virginia State Bar to launder the funds the Virginia Taxpayers' & Public's funds?

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Virginia State Bar $41 million undeclared income corruption

The undeclared $41 million Virginia State Bar income, many questions surround the massive amount!

On the Virginia State Bar website, the Treasurers annual report  declares the income, operating expenses and "other distributions". No where on their website is the undeclared income which averages over $10 million per year. 
Why is this income hidden from the public?
Click for: Virginia State Bar Annual Reports

Below is a chart of the financials concerning the VSB income

On the Virginia Government Data Point website, the declared total income is stated.

Click for: Virginia Government Data point website

You might say that, "oh, it was an oversight or accidentally omitted", well no, actually the "undeclared extra income" had been on their website but after our investigators questioned VSB staff, the link was removed.

Lets look at the VSB Regulations for Finance & Budget:

(A.) General Assembly Appropriation
Although it is a state agency, the Virginia State Bar receives no general fund or tax dollars. It is funded by dedicated special revenues derived primarily from bar dues which are held in the State Bar Fund with the Department of the Treasury. Regardless of cash balances on hand in the State Bar Fund, the VSB is authorized to spend only the amount of money appropriated to it by the General Assembly of Virginia in the state budget. The bar’s appropriation request is included in the Governor’s budget prior to review and approval by the General Assembly. 

(B.) Special Funds
Virginia State Bar funds are held in three separate accounts: the State Bar Fund; the Administration and Finance Account,
and the Clients’ Protection Fund. Each of these accounts is authorized by statute or rule of court and is audited annually by the State’s Auditor of Public Accounts.

The State Bar Fund is the bar’s operating account. This fund is comprised of member dues and penalty fees, as well as fees
from a variety of other sources including MCLE sponsors, professionalism course registration, cost assessments in disciplinary
matters and section revenues. Va. Code § 54.1-3913.

The Administration and Finance Account was created in 1987 to manage revenues and expenses for meetings that are supported
by registration receipts rather than mandatory dues. The Annual Meeting is handled through the A&F Account. The fund
is used to pay expenses that cannot be paid with state funds. Va. Sup. Ct. R. Part 6, § IV, ¶9(i).

The Clients’ Protection Fund was established in 1976 to make monetary awards to persons who have suffered financial
losses because of the dishonest conduct of a Virginia lawyer. 
The General Assembly and the Supreme Court approved a $25 per year assessment for each active member of the bar. Approximately $800,000 per year is added to the fund from this annual assessment. In February 2013, the General Assembly extended the $25 assessment through June 30, 2020.
Click for: Virginia State Bar Finance & Budget regulations

• Who is giving an average $10 million per year to the VSB.
• Why are they giving $10 million per year?
• Where is the undeclared $10 million per year being spent?
• What are the reasons for the $10 million per year undeclared funds?
• Why is the VSB hiding this massive amount of cash?

Lets review our previous posts that exposed the VSB corruption:

• Virginia state Bar $900,000 catering scandal
• Virginia State Bar extravagant foreign travel
• Virginia State Bar $2.8 million computer scandal
• Virginia State Bar excessive salary scandal
• Virginia State Bar $9.7 million Client Protection slush fund

Do you still think that the Virginia State Bar should not be audited? The last audit was 22 years ago (1995)

OK, well return to your work!

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A Va. State Bar $9.7 million Client Protection slush fund.

Who is the VSB protecting? Not the public!

November 03, 2017

Virginia State Bar Clients’ Protection Fund Board Awarded $38,168.33

The Virginia State Bar Clients’ Protection Fund Board awarded $38,168.33 in reimbursement to former clients of eleven Virginia attorneys at its most recent meeting on September 15, 2017.

Docket Number	Respondent’s Name	Address of Record	Amount Paid	Type of Case
16-555-003052	Stephen Joseph Fisher (Deceased)	Leesburg, VA	$1,800.00	Unearned fees/ Bankruptcy
17-555-003092	Tony Michael Hutchinson	Norton, VA	$   500.00	Unearned fees/ Bankruptcy
17-555-003097	John Arthur Sutherland, Jr.	Fairfax, VA	$7,333.33	Conversion-Theft/Personal Injury, Property Damage
17-555-003099	Jean Jerome Dandy Ngando Ekwalla	Woodbridge, VA	$1,600.00	Unearned fees/Bankruptcy
17-555-003107	Nnika Evangeline White	Richmond, VA	$   500.00	Unearned fees/Family Law
17-555-003112	Nnika Evangeline White	Richmond, VA	$1,150.00	Unearned fees/Bankruptcy
17-555-003113	John Fredrick McGarvey	Glen Allen, VA	$2,550.00	Unearned fees/Criminal Law
17-555-003115	Jean Jerome Dandy Ngando Ekwalla	Woodbridge, VA	$2,850.00	Unearned fees/Consumer Credit
17-555-003116	John Fredrick McGarvey	Glen Allen, VA	$2,900.00	Unearned fees/Criminal Law
17-555-003117	Kimberly Lisa Marshall	Poolesville, MD	$6,500.00	Unearned fees/Family Law
17-555-003118	Sara Elizabeth Chase	Henrico, VA	$1,000.00	Unearned fees/Family Law
17-555-003119	Michael Alan Bishop (Deceased)	Meadowview, VA	$7,500.00	Unearned fees/ Real Estate
17-555-003120	Michael Alan Ward	Fairfax, VA	$1,985.00	Unearned fees/Family Law

The Virginia State Bar Clients’ Protection Fund was created by the Supreme Court of Virginia in 1976 to reimburse persons who suffer a financial loss because of dishonest conduct by a Virginia lawyer.  Awards from the Clients’ Protection Fund are discretionary and are not a matter of right.  The fund is not taxpayer funded, but is funded by Virginia lawyers who are assessed an annual fee of up to $25. For more information on the fund, go to https://www.vsb.org/site/public/clients-protection-fund.

If you have any questions, you may contact Vivian R. Byrd, Administrator to Clients’ Protection Fund, at (804) 775-0572 or e-mail cpf@vsb.org

Updated: Nov 03, 2017

COMMENTS:

$9.7 Million Dollar Surplus in VSB Client Protection Fund

This post by the Virginia State Bar is deliberately misleading & intended to convince the Public & Virginia attorneys that the VSB is protecting the Public by paying out $38,168.33 to clients of eleven (11) attorneys.

Do the math:  

This is an average of $3,470.00 per client.

The VSB has a $9.7 Million+ Surplus (Slush Fund) under the control of the Virginia State Bar Clients' Protection Fund Board.

The VSB is not protecting the Public through the VSB Clients' Protection Fund any more than the VSB peotects the Public through its skewed VSB Disciplinary System.

The VSB is also continuing to collect $25 from every lawyer every year who pays dues to build up this Slush Fund for the VSB while  denying the majority of claims filed by clients who have suffered financial losses.

So much for the VSB Client Protection Fund protecting the Public & the Bar's dues paying members.

In 1995, the Virginia General Assembly (JLARC) Instructed the VSB to lower its dues.

http://jlarc.virginia.gov/reports.asp

The VSB has defied the Virginia General Assembly for 22 years.

Will the VSB explain this $9 Million Dollar Surplus to the Public & all Virginia dues paying attorneys?

No.

COMMENT

Verification of Virginia State Bar Client Protection Fund Data for Comments Posted Above:

http://m.vsb.org/site/about/the_clients_protection_fund_board_2017/

Virginia State Bar Only Suspends, Revokes & Imposes Public Discipline on Solos, Small-Firm, Minority & Female Attorneys Who are Not Well-Connected

Virginia attorneys need to unite to reform the Virginia State Bar Disciplinary System

VSB Only Suspends, Revokes & Imposes Public Discipline on Solos, Small-Firm, Minority & Female Attorneys Who are Not Well-Connected

Virginia attorneys need to unite to reform the Virginia State Bar Disciplinary System through the Virginia General Assembly. 

The VSB Disciplinary System must be modified to be  fair for all lawyers & to end the VSB's targeting of only solos, small firm members, minorities & women for Public Discipline, Suspensions and Disbarment.

Big-Firm and Well-Connected attorneys have NOT received any Suspensions,  Disbarments, Public Discipline in over 27 years.

As Virginia lawyers we can stop this targeting & deliberate malfeasance of the VSB by asking our General Assembly to remove the VSB Disciplinary from the control of the elected VSB Council and VSB Trade Association of the unified VSB.

Most States have already removed the Disciplinary Section from political control.

Since well before 1995, Virginia has moved in the opposite direction despite the last  1995 JLARC AUDIT REPORT of 27 yrs ago. http://jlarc.virginia.gov/reports.asp

We need to prevent the VSB from targeting certain these classes of lawyers & from protecting Big-Firms & Well-Connected  attorneys.

Help convince the Virginia General Assembly to act to protect all of us, not just some