The Law Society Tribunal in Ontario has revoked the licence of a lawyer after finding he engaged in professional misconduct, including sexually harassing two employees and assisting a client in dishonest financial activities. The decision, dated November 13, 2024, underscores the severe consequences of violating professional and ethical standards within the legal profession.
D.T.S., a sole practitioner, was found to have sexually harassed two female employees, A.B. and C.D., over a prolonged period from 2005 to 2021. Additionally, between 2017 and 2021, he assisted his client E.F. in dishonest conduct involving misuse of his trust account and proposed schemes to launder money.
Sexual harassment findings
The tribunal determined that D.T.S. created an “offensive, sexualised work environment” for his employees. While there was no physical harassment, his actions included psychological harassment and inappropriate behaviour that violated Rule 6.3-3 of the Rules of Professional Conduct.
Examples of his misconduct included:
- Instructing employees to transcribe audio recordings containing sounds of pornography and him engaging in sexual acts.
- Leaving sexual performance-enhancing substances in plain sight in the office.
- Storing sex toys and women’s lingerie in the workplace.
- Making inappropriate comments to and about his employees, such as suggesting A.B. did not wear pyjamas to sleep and texting C.D. to ask if she was wearing a bikini.
Both A.B. and C.D. provided detailed victim impact statements describing the profound negative effects on their mental and physical health, careers, and personal relationships. The tribunal found their statements credible, stating, “The negative effect on each of them has been lasting.”
D.T.S. settled the complaints at the Human Rights Tribunal of Ontario by making substantial payments to both employees, who then withdrew their complaints and agreed not to pursue further legal action. Despite this, the tribunal emphasized that his actions constituted professional misconduct.
Financial misconduct findings
The tribunal also found that D.T.S. assisted his client E.F. in dishonest activities, violating multiple sections of the Rules of Professional Conduct and By-Law 9.
Key findings include:
- Assisting E.F. in deceiving mortgage lenders by misrepresenting her financial assets. D.T.S. provided funds from his trust account to make it appear E.F. had sufficient funds for down payments on properties, knowingly misleading lenders.
- Receiving cash sums from E.F. that exceeded the $7,500 limit set by By-Law 9, s. 4(1), which is intended to deter money laundering through cash transactions.
- Using his trust account for purposes unrelated to legal services, including moving large sums of cash for E.F. without corresponding legal work.
- Proposing a scheme to launder money by pretending to employ E.F., thereby creating a false source of income to satisfy mortgage lender requirements. In a recorded conversation, D.T.S. admitted, “It would clean the money and it would give you a source of income.”
These actions demonstrated a deliberate pattern of dishonesty and misuse of his position as a lawyer.
Penalty and implications
The Law Society sought the revocation of D.T.S.’s licence, a penalty he did not oppose. The tribunal agreed, stating, “The respondent’s financial misconduct attracts a presumption of licence revocation.” They noted that his actions involved repeated instances of dishonesty with no mitigating factors.
“The sexual harassment of A.B. and C.D. was a serious breach… But it is the respondent’s financial misconduct that justifies the revocation of his licence,” the tribunal stated.
In addition to revocation, he was ordered to pay $15,000 in costs to the Law Society. The tribunal accepted the joint submission on costs, acknowledging that D.T.S. was cooperative during the investigation and did not prolong the proceedings.
For more information, see Law Society of Ontario v. Starr, 2024 ONLSTH 133 (CanLII).
