In a significant ruling, the Appellate Division of the Supreme Court of the State of New York has suspended attorney Anthony Servall Chilliest from practicing law for four years. This decision stems from serious allegations of misconduct, including the misappropriation of client funds and failure to maintain proper financial records. The ruling affects Chilliest's ability to practice law and serves as a reminder of the importance of ethical conduct in the legal profession.
The case, known as Matter of Chilliest, was filed on June 16, 2026, under docket number Motion No. 2026-01812 and Case No. 2023-04980. The Attorney Grievance Committee (AGC) for the First Judicial Department initiated disciplinary proceedings against Chilliest, who had been practicing law since 1995. The court's decision highlights the consequences of failing to adhere to professional standards and the protection of clients' interests.
Background
Anthony Servall Chilliest was admitted to the New York Bar on June 28, 1995. He operated a law office within the First Judicial Department. The issues leading to his suspension began in October 2023 when the AGC served him with a notice and petition of charges. The allegations included non-venal misappropriation of funds related to the sale of a residential apartment owned by an estate he represented. Specifically, he was accused of depositing part of the buyer's down payment into his business accounts and distributing all sale proceeds to one of the estate's heirs before the completion of Surrogate Court proceedings.
The AGC's investigation revealed multiple violations of the New York Rules of Professional Conduct, including failing to segregate estate funds, commingling those funds with his business accounts, and failing to maintain required bookkeeping records. In January 2024, after Chilliest failed to respond to the charges, the AGC moved for a default judgment against him, leading to an immediate suspension. The court granted this motion, and Chilliest was ordered to file an answer to the charges by March 2024.
The Ruling
On June 16, 2026, the court ruled in favor of the AGC's motion to confirm the findings of the Referee who had conducted a hearing on the charges. The Referee had sustained seven of the eight charges against Chilliest, concluding that his actions constituted serious breaches of legal ethics. The court stated, "The Referee's misconduct findings sustaining charges 1-7 are well founded and hereby confirmed."
Furthermore, the court found that the Referee had erred in not sustaining the eighth charge, which alleged that Chilliest's misconduct also violated rule 8.4(h). The court noted that this rule applies to violations both within and outside of rule 8.4, emphasizing the importance of maintaining ethical standards. The AGC's request for a four-year suspension was also supported by the court, which stated, "We also agree with the Referee's recommendation of a four-year suspension as it falls within the two-to-four year range of suspensions that we typically impose for comparable misconduct."
Impact
This ruling has significant implications for Chilliest and the legal community. His four-year suspension means that he cannot practice law during this period and must adhere to strict rules governing the conduct of suspended attorneys. The decision serves as a cautionary tale for other attorneys about the importance of ethical practices and compliance with legal regulations.
The court's ruling also reinforces the standards set forth in the New York Rules of Professional Conduct, particularly regarding the handling of client funds and maintaining proper records. This case may influence future disciplinary actions and serve as a precedent for similar cases involving attorney misconduct, particularly in matters of financial integrity.
What's Next
Chilliest has the option to appeal this ruling, although details regarding any potential appeal were not available in the court filing. The AGC's actions and the court's decision reflect a commitment to upholding the integrity of the legal profession in New York and ensuring that attorneys adhere to the highest ethical standards.