Kenosha attorney suspended 2 years for money laundering

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Kenosha attorney Walter W. Stern III, who was this year sentenced to 357 days in prison for money laundering, has been suspended from practicing law in Wisconsin for two years.

Stern was convicted by a federal jury early this year of money laundering to conceal $95,000 for a female acquaintance. The woman received the money as part of a marital settlement agreement, according to court records, and, with Stern’s assistance, concealed the cash to keep it out of consideration in her bankruptcy filing.

A federal grand jury indicted Stern on Dec. 20, 2011. He was found guilty of the money laundering charge on June 20, and sentenced to prison Jan. 9.

The Office of Lawyer Regulation then filed a complaint Jan. 22 alleging that Stern’s criminal act “reflected adversely on his honesty, trustworthiness or fitness as a lawyer.” The state Supreme Court agreed and Tuesday suspended his license for two years.

“The actions that led to Attorney Stern’s federal conviction of conspiring to commit money laundering are serious failings that warrant a significant level of discipline,” the court wrote.

Stern, who has been licensed to practice in Wisconsin since 1974, has been disciplined several times before. He was privately reprimanded in 1988 by the OLR’s predecessor, the Board of Attorneys Professional Responsibility, for talking to a person about representation without talking to the person’s lawyer. The BAPR then publicly reprimanded Stern in 1992 for additional professional misconduct.

He was privately reprimanded in 1993 and 2008, as well. The 2008 discipline was, according to court records, a result of Stern pleading no contest to a second and third drunk driving offense.

Stern could not immediately be reached for comment.