Prominent Long Island Lawyer Accused Of Pocketing $200,000 In Client Funds

NEW YORK (CBSNewYork)-- A prominent Long Island attorney is accused of misusing up to $200,000 in funds that were awarded to his clients.

CBS2's Jennifer McLogan reported Tuesday that 59-year-old Steven Morelli is accused of pocketing settlement money meant for his clients, as some of them were waiting for their payouts for more than a year.

"Somebody I know to be a good man and a good lawyer found himself in some trouble here," Marc Gann, Morelli's defense attorney, said. "I hope it doesn't end this way. This is a guy who has fought for his clients for many years. I know the allegations are serious allegations, but my understanding is that everyone to this point has been made whole."

One client was reportedly shorted $50,000 from a nearly $70,000 settlement. Irman Rubbani, a limousine driver in Brooklyn, told CBS2 that he has not seen "one penny" of the $50,000 Morelli owes him.

Rubbani said he has been trying for over a year to collect the funds, but that his calls, emails, and office visits have been ignored.

"I tried to make appointment with him. I went to see him, he does not come on the phone, or he does not want to see me," Rubbani told CBS2. "He ignored me."

Detectives claim Rubbani's check was deposited in Morelli's bank account and spent by the lawyer on personal items.

Morelli lives in Manhasset and owns another home in Manhattan. His office is located in Garden City, across the street from police headquarters.

Police told CBS2 that as soon as Morelli found out he was being investigated he made good on the money he owed to three of the four victims.

Victims said Morelli told them it was an unintentional clerical error.

Police said Morelli is charged with one count of second-degree grand larceny and three counts of third-degree larceny. Prosecutors say he faces up to 15 years behind bars.