OPINION AND ORDER
James Grant King, Kentucky Bar Association (KBA) Number
88465,  admits to violating the Kentucky
Rules of Professional Conduct and moves this Court to impose
the sanction of permanent disbarment. The KBA has no
objection to King's motion.
misconduct leading up to King's motion to resign under
terms of permanent disbarment spans six KBA files and
occurred over the course of more than a decade. Only one of
the files has progressed to the point of the KBA issuing
charges, however, King acknowledges that sufficient facts
exist in the remaining files to justify the issuance of
charges. In order to terminate all KBA proceedings, he seeks
to resign under terms of permanent disbarment.
facts contained in the KBA files are disconcerting to say the
least. On separate occasions, King used various clients'
funds for his personal use. To do so, King used an assortment
of tactics. He lied about settlement agreements, failed to
reimburse entities with subrogation interests, wrote cold
checks, and falsified information. King has since been
indicted on three felony charges related to fraud he
perpetrated after defaulting on a loan.
KBA File 16-DIS-0012
represented Duane Isbell in a personal injury action in 2006.
An agreed order was entered in 2007 stating Isbell would
receive $75, 000, but would be required to reimburse Medicare
for his medical bills. King placed $20, 000 of the settlement
in escrow, purportedly to pay Medicare following negotiations
of the total bill. King collected his fee out of the
remaining $55, 000, then distributed the balance to Isbell.
King negotiated a reimbursement total of almost $14, 000 with
Medicare in 2008 and sent Isbell a letter in 2009 indicating
he paid Medicare. In 2010, King gave Isbell a check for
around $6, 000, which should have been the balance remaining
in the escrow account after paying Medicare. Isbell grew
concerned when years passed without him receiving a release
from Medicare. In 2013, King sent Isbell a letter and a
second check purportedly to Medicare from a separate escrow
account. However, that account had been drained of funds.
2016, Medicare told Isbell it had never received a check from
King and that interest had accrued over the years.
Isbell's balance at that time was more than $25, 000.
Isbell and Medicare both requested a copy of the cancelled
check from King, but King responded to neither party.
Inquiry Commission charged King with violating SCR 3.130-1.3
for failing to pay Medicare on Isbell's behalf, -1.15(a)
for comingling funds, and -8.4(c) for deceiving Isbell with a
check written to Medicare from an account he knew had a zero
balance and dishonestly misappropriating the funds he should
have used to pay Medicare. \ '
KBA File 16-DIS-0393
Jett, King's neighbor, loaned King $97, 500. Under the
terms of the promissory note, King was to pay interest of
3.5% per annum and pay the . loan off in full within a year.
King also signed the title of a bass boat over to. Jett as
collateral. After King failed to make any payments on the
loan, Jett attempted to transfer the title to the boat into
his name as partial payment for the debt. However, King had
fraudulently applied for a lost title and used the copy to
sell the boat to another individual. King apparently used the
funds to purchase another boat. King gave the new boat to
Jett as partial repayment, but Jett had to pay a balance on
the boat, as King could not pay the difference. As of the
time this case was filed, King still owed Jett approximately
$30, 000, with interest continuing to accrue.
on these actions, the McCracken County Grand Jury indicted
King of three felonies: defrauding a secured creditor,
entering false information to produce a title document, and
theft by deception.
Inquiry Commission has not issued a formal charge related to
this KBA file, as it placed the case in abeyance pending the
outcome of the underlying criminal charges.
KBA File 17-DIS-0067
and Holley Reaves hired King to represent them in a car wreck
case. The Reavises also granted King a limited power of
attorney. King signed an agreement on behalf of Holley,
settling her case for $33, 000 and releasing all claims.
However, in spite of this settlement, King continued to
advise the Reavises that their case was still ongoing. Holley
finally contacted the insurance carrier, and was advised her
claim had been settled and a check had been issued. Holley
also learned that Randall's ...