Peter P.D. Leach, Ponzi Scheme, Rhode Island 2023

PROVIDENCE, RI – In a shocking turn of events, former Rhode Island personal injury attorney Peter P.D. Leach has been sentenced to nearly three years in federal prison for running a brazen Ponzi scheme, defrauding clients out of their settlement funds.

According to the United States Attorney Zachary A. Cunha, Leach admitted to forging client signatures and depositing settlement checks into his attorney IOLTA account, using those funds to pay personal expenses and to repay earlier clients whose funds he had embezzled.

Leach’s scheme, which lasted from 2014-2019, involved repeatedly making false representations to clients about the status of their cases and telling them that he would pay their medical expenses and other bills with settlement funds he had received.

Furthermore, Leach took multiple steps to conceal his gains from the IRS, including making false statements on IRS forms regarding his assets, making false statements to IRS Revenue officers about his ability and willingness to pay his taxes, and transferring money from his client account to the account of family members to make personal payments.

“Peter Leach egregiously abused the core responsibility of any lawyer – the trust of his clients – to help himself to money that belonged to victims of accidents and tragedies, and then tried to cheat on his taxes into the bargain,” remarked U.S. Attorney Zachary A. Cunha.

“While it is the expectation that a person can trust their attorney, Leach used his position to take advantage of his clients. He used their money and personal information to line his pockets, telling lie after lie to get what he wanted. Now, there is no lie that he can tell to hide the fact that he will spend the next few years in prison for his criminal acts,” said Thomas E. Demeo, Acting Special Agent in Charge of IRS-CI Boston.

On Thursday, U.S. District Court Judge Leo T. Sorokin sentenced Leach to 33 months of incarceration to be followed by two years of federal supervised release. Additionally, Leach was ordered to pay restitution to his victims totaling $299,774.41. In a separate restitution matter, the court is expected to enter an order that Leach pay $320,622.76 to the IRS, representing taxes he failed to pay to the agency.

The case was prosecuted by Assistant United States Attorneys Sandra R. Hebert and Denise M. Barton. The matter was investigated by the Rhode Island State Police Financial Crimes Unit and Internal Revenue Service – Criminal Investigation.

Leach’s victims will be relieved to hear that he will be held accountable for his actions and that some of the funds he stole will be recovered. This case serves as a stark reminder of the importance of due diligence when selecting an attorney and the consequences of betraying the trust of clients.

The mandatory facts in this case include:

Defendant: Peter P.D. Leach
Criminal Charges: Wire Fraud and Tax Evasion
City and State: Providence, RI
Exact Date: Not specified
Sentence: 33 months in federal prison followed by two years of federal supervised release
Dollar Amounts: $299,774.41 in restitution to victims and $320,622.76 in restitution to the IRS