A once-prominent New Haven attorney known for his handling of eminent domain cases is facing a felony larceny charge in connection with the alleged theft of $175,000 from a Shelton developer.
Benson Snaider, 75, of Stratford, was charged with a single count of first-degree larceny last November after a police investigation that lasted nearly a year.
Snaider’s lawyer, Ira Grudberg, declined to comment on the specific allegations Thursday, but said his client would probably plead not guilty in the case at his next court appearance, scheduled for Jan. 29 at Superior Court in Milford.
According to an affidavit supporting Snaider’s arrest, investigators first became aware of the allegations in November 2011, when Adam Zuckerman, who owns Phoenix Housing of Shelton, LLC, with his father, Jonathan, visited the police station to make a complaint.
Zuckerman told Officer John Petrillo, a Shelton police officer currently assigned to the U.S. Secret Service’s Financial Crimes Task Force, that in 2006 his company sold a parcel of land off River Road where the Crescent Village Condominium Complex now stands. The land is the former site of the Pinecrest Country Club.
During the sale, the City of Shelton took a nearby parcel from Zuckerman’s company through eminent domain. The Zuckermans enlisted Snaider, a “family friend,” to represent them, the affidavit says.
During that process, $175,000 was deposited into a Superior Court trust account in May 2007.
Around that time, the affidavit says, “Attorney Snaider advised the Zuckermans that the money could not be withdrawn due to continuing court action.”
The Zuckermans allegedly heard the same excuse from Snaider several times since.
“There have been numerous requests by the Zuckermans since that time to have the money released to them,” the affidavit says. “Attorney Snaider has repeatedly refused, stating the case is still under litigation with the court.”
Then, in November 2011, the Zuckermans saw a newspaper article saying that Snaider had been charged with stealing $800,000 from a Stamford car dealership in another eminent domain case.
Snaider eventually pleaded guilty to a charge of first-degree larceny in that case and in April 2012 was sentenced to a suspended five-year prison term and five years of probation.
Upon seeing the news article, Jonathan Zuckerman immediately called Snaider, the affidavit says.
“According to Adam Zuckerman, Snaider told Jonathan Zuckerman that he had spent the money,” the affidavit says.
Snaider allegedly tried to convince Zuckerman to let him set up a payment plan to give back the money.
Zuckerman refused, and instead went to Superior Court in Milford, where a clerk gave them a copy of a 2007 court order disbursing $175,000 to Phoenix Housing, care of Snaider.
“Court records further show that the check was released to the care of Attorney Snaider,” the affidavit says. “Adam Zuckerman stated they never received any money from Attorney Snaider for settlement in this case.”
Petrillo reached out to the Stamford detective who arrested Snaider and got the number of a bank account the lawyer used to hold clients’ money.
Last May, police obtained a search warrant for the account, which eventually revealed a deposit of $175,000 from December 2007.
Jonathan Zuckerman’s new lawyer, Edmund Collier of Milford, said Thursday that Snaider owes his client money above and beyond the $175,000 cited in the affidavit
“There was another transaction that Snaider was involved in where he was holding some money with respect to a real estate matter,” Collier said. “The real estate matter was litigated, and a portion of the money was to go back to Zuckerman. That didn’t go either.”
“When it’s all said and done, it’s in excess of $200,000,” Collier said of the money owed by Snaider to Zuckerman.
If they can’t recover the funds through restitution in the criminal case or with a claim to the Judicial Branch’s Client Security Fund, they may file a lawsuit against Snaider.
“My understanding from my client is that he’s first and foremost looking to be paid back,” Collier said. “This is a substantial amount of money that my client counted on for various things that’s now gone.”
Snaider is due in court Jan. 29.
“Ben was a top practitioner in his area for many, many, many years,” said Ira Grudberg, Snaider’s attorney. “In the area of condemnation and eminent domain he was recognized as a top guy.”
Asked whether the allegations were surprising or hard to explain in light of Snaider’s good reputation, Grudberg said: “Much of human behavior is often inexplicable.”
“I’m not commenting on this case at all, (but) I’ve been defending people for 50-odd years,” Grudberg said. “Sometimes it’s a wife who’s demanding. Sometimes the lifestyle outstrips the earnings. Sometimes it’s a lot of things.”
In addition to the criminal case against him, the state’s chief disciplinary counsel has filed a lawsuit against Snaider.
Snaider resigned from the state bar 22 days before his arrest by Shelton police, in the midst of disciplinary proceedings against him.
Patricia King, the state’s chief disciplinary counsel, said her office is seeking to forestall the possibility of Snaider re-applying for admission to the bar and wants him prohibited from doing so for a dozen years, the maximum time allowable.
“The law provides for a 12-year disbarment for misappropriation of client’s funds,” she said.
Grudberg said Thursday that because Snaider resigned from the bar, “They don’t have jurisdiction over him as far as disciplinary stuff.”
A hearing on the matter scheduled for last week was postponed. A judge has not yet rescheduled it.
