Lawyer Accused of Stealing $1.8M from Client’s Trust to Gamble

A civil lawsuit filed in Polk County Florida, accuses attorney Jason Penrod of Family Elder Law of taking almost $1.8 million from a trust fund. This fund belonged to the children of a deceased client. The lawsuit claims Penrod lost the money gambling at the Seminole Hard Rock Casino in Tampa. 

Lawyer Admits to Moving Funds from Trust Over Months

Charles Anderson and Sherry Prevoznik, the trust’s beneficiaries, filed the lawsuit. They say Penrod moved the funds from their father David D. Anderson’s trust over several months starting in October 2023, as reported by WFLA News Channel 8.

Penrod, who wrote the trust in 2014 and became its successor trustee owned up to his actions in a letter he gave to the plaintiffs in June 2024. This letter now part of the court documents, shows Penrod calling himself a gambling addict. He blamed unresolved childhood trauma and post-traumatic stress to explain his harmful behavior. He said he kept moving money from the trust to his personal account before sending it to the casino where he lost everything. His law firm, Family Elder Law, shut down its offices in Lake Wales Lakeland, and Sebring in July without telling clients.

Penrod’s confession reveals that his gambling problem grew out of control in late 2023. During this time, he transferred almost all the money from the trust to the casino in just three months. The casino served as the primary place where he lost the funds, and the account had no money left by early 2024. Penrod said he wanted to pay back the money through future income or by selling assets, but he confessed that his money troubles made this hard to do.

Penrod Faces Lawsuit for Alleged Trust Fund Theft, Plaintiffs Demand $5.25M in Compensation

The lawsuit aims to get more than $50,000 in damages and accuses Penrod of stealing money, misusing property, and breaking trust. It also asks for Penrod to be removed as the estate’s trustee. Penrod wrote a letter suggesting a plan to pay back the money. This plan included using his life insurance policy 401(k), and possible profits from his law firm, which makes over $2 million each year.

However, the plaintiffs want $5.25 million to make up for the trust funds they lost. In his request to the Florida Supreme Court, Penrod asked for “disciplinary revocation.”

This action would take away his legal license but keep open the possibility of applying again in the future. If the court approves his request, it will dismiss any ongoing disciplinary actions by the Florida Bar. However, this will not shield Penrod from potential criminal charges, as the Polk County Sheriff’s Office and the State Attorney’s Office continue their investigations.