Local News in Brief : Costa Mesa : Attorney Accused of Embezzling $100,000

A Costa Mesa civil attorney has been charged with embezzling and misappropriating about $100,000 from as many as 12 clients and setting up trust funds for himself, Costa Mesa police said.

Attorney James Pichette, 34, charged with grand theft, allegedly used money from clients’ out-of-court settlements. His attorney said Thursday that the case is the result of “fee disputes and disgruntled clients.”

Costa Mesa Detective Steven Labbitt said police first received complaints about Pichette from clients in April, 1987. Labbitt arrested Pichette in August, 1987, when complaints were also filed with the district attorney’s fraud unit and California State Bar.

Pichette was facing court proceedings when police received more complaints. Labbitt obtained search warrants for bank accounts and other locations. Charges against Pichette were amended June 30.

Pichette, who lives in Mission Viejo, has been charged with 17 felony counts of grand theft, misappropriation of funds and filing false documents in court.

Pichette referred all comment on the case to his attorney, Gerald Roepelle of Okuley & Roepelle of Newport Beach.

“All these are, are charges,” Roepelle said Thursday. “These allegations arose out of fee disputes and his clients are trying to use the criminal justice system” to solve them.

Labbitt said Pichette allegedly asked his clients to pay him money up front for out-of-court settlements, but didn’t transfer the settlement funds to the plaintiffs. In other cases, he allegedly took some of the money from clients who won out-of-court settlements. He is also accused of forging the signatures of his clients on court documents.

A preliminary hearing is set for Oct. 18.