The Real Deal Miami

Law firm’s tumble may have been prompted by suspicious real estate transaction

November 11, 2009 12:34PM

Real estate transactions were among the many aspects of commerce and law thrown into disarray after the Rothstein Rosenfeldt Adler law firm in Fort Lauderdale was hit with an involuntary bankruptcy filing late yesterday. Attorney Scott Rothstein allegedly ran a massive Ponzi scheme in addition to the legal business, and investors are now trying to recover money they say is missing. Prosecutors said $1.4 million from an escrow account for a stock and real estate transaction was spent immediately after being moved into the firm’s operating account, causing observers to suspect foul play. The transaction had involved Ricardo Martinez and Camilo Manrique, clients of attorneys in the firm’s Venezuela office, according to court records. [Sun-Sentinel]