Judge says she’ll likely refer Girardi to State Bar

A Los Angeles judge will likely refer plaintiffs' attorney Thomas V. Girardi to the California Bar for possible disciplinary charges for mishandling client funds, she said Monday.

Girardi is accused of stealing millions of dollars from several clients. The case discussed on Monday involved a victim of the San Bruno pipeline explosion in 2010 who suffered burns on 50% of his body. Girardi is alleged in a lawsuit to have withheld $11 million from the settlement paid out by PG&E into Girardi Keese's client trust fund account. Ruigomez et al. v. Girardi et al., 19STCV22296 (L.A. Sup. Ct., Dec. 15, 2020).

Superior Court Judge Holly J. Fujie issued an order in December to show cause why Girardi and his firm should not be reported to the bar. On Monday, she said that it was "pretty clear" that Girardi had mishandled client funds.

"I may need to report to the bar regardless of any input from Mr. Girardi and lead that back to the bar to make its own investigation as to whether a violation of professional ethics has taken place," Fujie said. "I've been very concerned about this case from the beginning and I believe that there may be an obligation on the part of this court to report what appears to be a clear ethical violation."

Girardi faces multiple lawsuits. Creditors have filed involuntary bankruptcy petitions against him. His longtime partner, Robert M. Keese, has also filed two lawsuits. Girardi is also accused of stealing millions of dollars from surviving relatives of people killed in the 2018 crash of a Boeing jet in Indonesia.

Girardi's attorney could not be reached on Monday.

Fujie has previously considered referring the case to the bar, according to Boris Treyzon, partner at Abir Cohen Treyzon Salo LLP, who represents the San Bruno burn victim.

"At that time, she was assured by Mr. Girardi that there is no problem and that he is resolving the issues and paying everybody," Treyzon said in an interview on Monday. "She withheld referral at that time. Now with everything that's happening, it's obvious she felt that it was appropriate. She felt that she had a duty to report it."