Prosecutors say a flamboyant West Chester lawyer known for quoting Shakespeare and representing drug defendants sank into his clients' world.
Daniel L. McCaughan, 45, of West Chester, faces theft charges, one of which carries a maximum penalty of 10 to 20 years in prison, for allegedly soliciting $20,000 from the mother of a drug dealer so the "feds don't seize it," the criminal complaint said.
Defense attorney Paul Rubino explained the case as a fee dispute, saying that the funds were "for work to be performed" for Christopher Joseph Stansberry, who was sentenced to 138 months in prison in October 2005, court records said.
McCaughan, who was arrested Sunday, posted $50,000 cash bail yesterday and appeared before Chester County Court Judge Howard F. Riley shortly after his release from prison.
First Assistant District Attorney Patrick Carmody argued that bail should be increased, calling McCaughan a "serious flight risk." He cited McCaughan's multiple references to "taking off" in a rambling half-hour conversation with Stansberry's mother that was taped by police.
"I'm not going to be around after a couple of weeks," McCaughan said to Diane Stansberry.
McCaughan is also quoted as saying that he never put the money into an escrow account as promised, but he insisted he did not lie to her.
"I told you what Chris wanted me to tell you. I told you what Omar wanted me to tell you," McCaughan says in the transcript.
McCaughan said he paid the money to Omar Vasquez, a client who was Christopher Stansberry's alleged drug supplier.
"I work for Omar, just like Chris works for Omar," the transcript said. "Look, they're drug dealers. They carry guns. They don't care. They're all hooked up in these gangs down in Kennett... . I'm outta here... . I'm terrified of Omar and that whole bunch."
Rubino labeled McCaughan's remarks "puffing" and understandable in context. Rubino called the funds "legit," not drug-related.
McCaughan said he turned in his law license last week, closed his practice, gave away his Mercedes, and has no money.
The judge agreed that McCaughan posed a flight risk, and he altered the bail so that the cash amount is lower - 10 percent of $50,000 - but McCaughan will now wear an ankle bracelet.
Prosecutors said the case surfaced after Diane Stansberry went to police after a year of trying to get the money returned. She said half of it - earmarked for her granddaughter's care during her son's incarceration - had come from her and had no criminal connections.
District Attorney Joseph W. Carroll said the circumstances of the alleged crime raise the possibility that other victims exist, since drug traffickers would not be likely to approach police if their profits were pilfered.
"We're going to focus on the defendant, not the volunteer who gives us information," said Carroll, encouraging potential victims to come forward.
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