Disbarred lawyer kept P60M from clients, ‘gave’ to Leila kitty

The Supreme Court has disbarred a lawyer for misappropriating over P60 million of his clients’ funds, after he remitted only a portion of their awarded compensation and kept the rest as attorney’s fees and allegedly as his contribution to the campaign kitty of former Sen. and Justice Secretary Leila de Lima.
The high court dismissed lawyer Demosthenes Tecson for gross misconduct in violation of the judiciary’s Code of Professional Responsibility and Accountability (CPRA), according to a press statement issued by the tribunal on Wednesday.
Tecson then represented Mamerta Lizada, Benito Cuizon, Abelardo Cuizon, and Enrique Quizon in an expropriation case before a regional trial court (RTC).
The RTC ruled in his clients’ favor, awarding them P134 million in compensation.
According to the high court, Tecson personally received the funds on his clients’ behalf but only remitted P53.7 million, keeping P13.4 million as his attorney’s fees and while supposedly giving the rest of the money, or P67 million, to De Lima’s campaign.
His clients then filed an administrative case for his disbarment with the Integrated Bar of the Philippines (IBP).
Fee for ‘PR man’
In his defense, Tecson claimed that the remaining funds were used as a “facilitation fee” for a “PR man” to fast-track the payment of compensation and that the petitioners had consented to this.
After an investigation, the IBP found Tecson guilty of violating his duty of fidelity to the law under Canon III of the CPRA, and recommended his disbarment.
Canon III requires lawyers to uphold the Constitution and laws, aid in the administration of justice, and advocate for their clients’ interests.
Akin to bribery
The high tribunal adopted the IBP’s findings and recommendation, emphasizing that a lawyer’s duty of fidelity to the law includes the obligation to immediately and properly account for a client’s funds or property, use them for the intended purpose, and promptly return any unused portion.
“If a lawyer fails to manage a client’s money properly during and after the lawyer-client relationship, this is considered misappropriation. If the lawyer does not return the money upon request, it is assumed that they have misappropriated the funds for their own benefit, thereby violating the client’s trust,” the Supreme Court said.
In this case, Tecson could not refute this assumption, the Supreme Court noted in a per curiam decision, or one whose authorship is not attributed to a particular justice.
His claim that the unreturned amount was used to pay a “PR man” to expedite the case lacked supporting evidence, the high court added.
Even if his claim were true, the Supreme Court said it would amount to bribery, as lawyers are not allowed to give inappropriate or illegal advice.
“Thus, their duty to account for their client’s funds and property must align with their obligation to obey the law. Lawyers must use their client’s funds only for lawful purposes,” the high court said.
De Lima keeps distance
Given the seriousness of his offense, Tecson was disbarred effective immediately and ordered to return the unremitted P67 million to the petitioners.
In a statement issued on Wednesday, De Lima denied any association with Tecson and his claim that he had donated to her senatorial campaign.
“He is definitely not a part of my legal team,” De Lima said.