Three to repay money to trust

The lawyer borrowed money from a trust while he was a co-trustee, court says.

By TIM YOVICH

VINDICATOR TRUMBULL STAFF

WARREN — A Warren woman and her son have been ordered to repay the trust of a deceased woman $134,647, while a Howland attorney has to pay $12,250 to that trust.

The payments are contained in an order released Tuesday by Judge Thomas A. Swift of Trumbull County Probate Court.

The court found Angela Lagos and her son, Paul Lagos, guilty of having concealed and embezzled the money from the trust of Eleanor W. Blackburn, who died in 2004.

The court did not find evidence to support a finding of concealment of assets against Atty. Kenneth N. Shaw.

Shaw did not return a message left at his office seeking comment.

The Lagoses have no listed telephone number and could not be reached to comment.

According to the judge’s entry, Eleanor W. Blackburn bought two Eastland Avenue duplexes from Angela Lagos in 1993 for about $120,000.

Blackburn was elderly and they befriended each other as neighbors.

In 1999, Blackburn sold one of the duplexes back to Angela Lagos and her son.

The alleged gift of the second duplex to Angela Lagos was with the understanding that Blackburn could remain in it rent free until Blackburn died.

Blackburn consulted with Shaw to handle her brother’s estate and make her own estate plans. Blackburn and Shaw were co-trustees of Blackburn’s trust in 1999.

The trust specified that each of Shaw’s five children would receive $5,000 and Angela Lagos and Paul Lagos would each receive $15,000 when Blackburn died.

The trust also designated $30,000 to Shaw’s church and $10,000 to two people affiliated with the church.

According to the order, Shaw was experiencing financial problems, and in 2000 he borrowed $13,000 from the trust.

In 2001, Blackburn, who had no living relatives, revoked Shaw’s power of attorney and removed him as a co-trustee.

She also removed Shaw’s five children as beneficiaries.

Judge Swift ordered Shaw to repay $12,500 to Blackburn’s trust. He is still eligible to practice law, according to the Ohio Supreme Court.

Judge Swift found that despite the deal where Blackburn could live in the duplex rent free until her death, Angela Lagos collected $17,240 in rent from Blackburn until her death May 11, 2004, at age 92.

Angela Lagos, who had power of attorney, also wrote $26,214 in checks on Blackburn’s account that were cashed by her son.

Also, the judge wrote, they cashed $27,393 in dividend checks that were not deposited into Blackburn’s account.

In addition, the court found they changed Blackburn’s trust so Angela Lagos received a $150,000 benefit and her son would receive $75,000 when Blackburn died.

The bequests to the church and two people associated with it were canceled.

Judge Swift ordered the $150,000 and $75,000 bequests voided and $134,647 — comprised of $71,647 cash and the Eastland duplex valued at $63,000 — be repaid by the Lagoses.

Of that amount, $75,971 is directed to Donna J. Miller, administratrix of Blackburn’s estate, and $58,676 to Atty. William G. Cauffield of Warren, now the trustee of Blackburn’s trust.

yovich@vindy.com