A Floral Park real estate attorney who lives in Oyster Bay pleaded guilty to grand larceny and other charges for embezzling more than $1.7 million from the escrow accounts of 30 clients and then spending the money on adult entertainment, nightclubs, other personal expenses and to carry on his law practice, according to Nassau County District Attorney Anne Donnelly.
Terrance Dougherty pleaded guilty to 13 counts of grand larceny and one count of scheme to defraud and is due back in court Nov. 6, Donnelly said.
The DA said he is expected to receive a sentence of 3 1/2 to 10 1/2 years in prison.
She said that Dougherty was a practicing real estate attorney with an office on Jericho Turnpike in Floral Park, representing clients in the sale and purchase of property.
Dougherty had maintained an attorney trust account in which he held client funds from various real estate transactions, including down payment funds and sale proceeds.
Between March 2021 and November 2024, Dougherty worked with at least 30 clients on real estate transactions, and according to the investigation, he withheld sale proceeds or down payment funds from those individuals.
Donnelly said many of the transactions were cancelled because of the missing funds or closings occurred without Dougherty providing the necessary funds.
A review of Dougherty’s account showed that client funds consisting of $1,721,600 were deposited into the account between March 2021 and November 2024, and by Nov. 29, 2024, the balance was $5.35.
Records reviewed during the course of the investigation revealed that he withdrew funds from the attorney account through cash withdrawals, transfers to another business checking account he held and to various credit card accounts he had opened.
He was reported to the Grievance Committee for the 10th Judicial District on Aug. 30, 2024, the same month he ceased practicing from his Floral Park office.
Donnelly saidDougherty acted without shame or remorse. “As he partied, dozens of his clients faced cancelled closings and the realization that they had been ripped off and their money was gone,” she said.
