Bankruptcy Sec. 523(a)(19) Prevents Dischargeability of Person Culpable of Securities Violations

The Securities and Exchange Commission (SEC) brought action against a lawyer to disgorge $580K in attorney's fees he received from trust funds, because they had not been earned. Attorney filed for bankruptcy. SEC brought action under Section 523(a)(19) to determine debt nondischargeable. Held: Because the lawyer was not culpable of securities violations that caused the debt, Section 523(a)(19) will not apply to him.
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