Disbarred OC attorney sentenced to 12 years in federal prison

A disbarred personal injury attorney, convicted of multiple felonies based on stealing millions from the settlement of claims and federal income tax evasion, was sentenced to serve 12 years in federal prison.

Philip James Layfield, also known as "Philip Samuel Pesin," was sentenced by U.S. District Judge Michael W. Fitzgerald on Thursday.

Fitzgerald found the total loss in this case to be approximately $5,552,756. United States v. Philip Layfield, 2:18-cr-00124-MWF-1 6 (C.D. Cal., filed March 19, 2018).

During his sentencing, prosecutors argued Layfield's crimes added more stress and injury to his victims, who were already suffering greatly as a result of their accidents.

"The evidence, including his own testimony, showed that he repeatedly stole money from his trust account that he should have paid to his clients who had suffered horrible personal injuries," prosecutors argued in a sentencing memorandum. "They had hired Layfield to bring them closure and some sense of relief. Their faith in the legal system shaken, compounded his clients' stress and anxiety by forcing them to hire other counsel to try to recover money from Layfield, only to find little or nothing."

Fitzgerald called Layfield's actions "appalling" and his criminal conduct "sheer evil," according to a U.S. Attorney's office news release.

Before sentencing, Layfield said in a letter to Fitzgerald, "I come to this court a completely broken man. I realize that I have only myself to blame for being here."

"At the start of this case, the government alleged I had secret stores of cash in foreign bank accounts, having fleeced my clients. Nothing could be further from the truth. In fact, I poured a lot of personal assets into trying to save the firm and pay people what they were owed. In the end, I literally have no assets at all," Layfield wrote. "I've lost my home, all my possessions and everything I've ever worked for. Currently, I rely on my father to send me small bits of money to buy commissary items at the jail."

Prosecutors said Layfield owned and operated law firms, including Layfield & Barrett, which at various times maintained offices in Los Angeles; Irvine; El Segundo; Park City, Utah; and Scottsdale, Arizona.

After misappropriating millions of dollars from clients' settlements, Layfield moved to Costa Rica, prosecutors said. Just before getting on a flight to Costa Rica, Layfield borrowed $700,000 from a business lender by providing misleading information and failing to disclose material information, the Department of Justice news release said. He then used substantial portions of the loan proceeds for personal expenses, including buying a horse and shipping horses to Costa Rica.

The exact amount of restitution which Layfield will be ordered to pay to his victims will be determined at a hearing scheduled for May 12.