Matthew C. Browndorf, a 54-year-old attorney from Irvine, California, has been sentenced to over five years in federal prison for wire fraud and money laundering. The sentence was handed down by U.S. District Judge Lydia K. Griggsby.
The announcement came from Kelly O. Hayes, U.S. Attorney for the District of Maryland, along with Special Agent in Charge William J. DelBagno of the FBI Baltimore Field Office and Special Agent in Charge Edwin Bonano from the Federal Housing Finance Agency's Office Inspector General.
Browndorf, who was licensed to practice law in New York, Pennsylvania, and New Jersey, also held a majority stake as CEO of Plutos Sama, LLC. This company functioned as a holding entity for his various business ventures.
Plutos Sama acquired the Fisher Law Group through an agreement signed by Browndorf as a managing member. The firm was subsequently renamed BP Fisher and served lending and loan servicing clients involved in foreclosure processes.
BP Fisher managed an Interest on Lawyer’s Trust Account (IOLTA) along with an operating account under Browndorf's supervision. These accounts were intended to hold funds received or held on behalf of clients or third parties by an attorney or law firm.
Over several years, Browndorf misled clients into believing they had immediate access to their funds in BP Fisher’s IOLTA accounts while he redirected these funds into Plutos Sama accounts and other personal accounts under his control. This fraudulent scheme resulted in more than $2.4 million in losses to BP Fisher’s clients. The misappropriated funds were used by Browndorf for personal expenses including credit card bills and luxury car lease payments.
U.S. Attorney Hayes praised the investigative efforts of the FBI and FHFA-OIG and acknowledged Assistant U.S. Attorneys Christopher Sarma, Joshua Rosenthal, and Matthew Phelps for prosecuting the case.
For additional details regarding the Maryland U.S. Attorney’s Office initiatives and community resources, visit www.justice.gov/usao-md or https://www.justice.gov/usao-md/community-outreach.
