Former Portland lawyer Lori Deveny stole millions from at least 135 vulnerable personal injury clients. She is now serving concurrent state and federal prison sentences, and a restitution hearing is scheduled for later this month. However, the Northwest Observer has learned that the estates of Deveny’s dead clients are at imminent risk of exclusion from that restitution order, which is expected to exceed $4.5 million.

The deceased clients’ files are in the hands of the Oregon State Bar -- who won’t release them to the estates or to law enforcement—and Multnomah District Attorney Mike Schmidt refuses to intervene on the families’ behalf.

The files are set to be destroyed by the Bar later this month, unless some state or federal authority intercedes. The client files likely contain previously undisclosed evidence of Deveny’s decades-long scheme of fraud and theft.

The situation was brought to light by Stephanie Volin, an independent writer who frequently reports on Oregon’s legal system. She first learned of the existence of these deceased clients’ files last month, and about the Bar’s plan to destroy them.

Volin then spent weeks imploring D.A. Schmidt and other authorities to intervene in the matter. Schmidt was unresponsive, and instead passed the buck to the Clackamas District Attorney. Because neither office would act, Volin finally wrote and filed her own emergency motion for an injunction in late March. The motion is still sitting in that case, unread and undecided.

“I think it’s a major problem that nobody even knows how many dead Deveny victims there are, because the Bar won’t tell us and won’t tell law enforcement,” Volin said. “But it’s a far worse problem that these D.A. and the court won’t act to protect these people and their property.”

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She added, “These clients were victimized by a well-known local attorney, and the county and court where she mainly practiced are now looking the other way. It looks really bad for everyone to just shrug and say ‘Oh well!’”

The Bar acquired Deveny’s files in late 2018, when Multnomah Judge Jerry Hodson awarded the agency the remnants of the disgraced attorney’s practice. Judge Hodson also presided over Deveny’s state criminal case, and imposed a 14-year sentence that many believed was insufficient, in light of the scope and duration of her criminal career.

“The Bar sat on Deveny’s files for years and made no attempt to locate estates or heirs for her deceased clients. Now they’re going to destroy those files in a few weeks unless someone acts.”

Volin insists that the Bar misinformed Judge Hodson when they sought his permission to shred the files. “The Bar was not candid with the judge. I don’t think he would have signed the order if the Bar had plainly told him, ‘Hey, we never even tried to locate the rightful owners for all these deceased peoples’ property.’”

The agency, which exists to protect the Oregon public, may begin shredding the files as soon as the final judgments are entered in the two criminal cases. The restitution hearing is currently scheduled for April 19th.

As that day rapidly approaches, Volin still holds out hope that Multnomah D.A. Schmidt will get involved in the matter. “Deveny abused many more people than we currently know about, and some of them happen to be dead. She shouldn’t get away with burying her crimes along with her victims, and doing so with the Bar’s help. The D.A. absolutely should act quickly to safeguard these files.” Volin added, “It certainly shouldn’t have to be me.”


--Staff Reports

Post Date: 2023-04-06 09:17:26

Last Update: 2023-04-06 11:19:07