In re: St. Rita’s Associates Private Placement, L.P.
United States Bankruptcy Court
Western District of New York
(Bk. No. 96-13052B)

Damon & Morey used many of the same billing tactics on its St. Rita’s Associates Private Placement client as it did on Elia. It did not submit fee applications in a timely way in that case as well as in the Elia case. EXHIBITS 18 & 40 This tactic denies its clients any timely or reasonable opportunity to object to overbillings. Then, Damon & Morey knowing that it is inherently more credible to the Bankruptcy Court than its debtor clients, also uses that advantage to collect on its untimely and inflated fees. 

Through its substantial experience in dealing with the Bankruptcy Court, Damon & Morey knows what fee amounts it can “sell” to the Court. For example, in the St. Rita’s case Mr. Savino instructed a Damon & Morey employee to identify enough (i.e. not all) of the “border line” charges to arbitrarily get the fee application under $100,000. Damon & Morey originally told St. Rita’s that its fees would be about $60,000 EXHIBIT 28 

Damon & Morey uses outrageous tactics to discredit clients that challenge its inflated fee applications. For instance, it resorts to name-calling. Its St. Rita’s client was referred to as “stinko”,  a “miserable, miserable engagement”, the “worst”, “haven’t had a guy this bad since… “EXHIBIT 24 Also, to substantiate its double billing in the St. Rita’s case, in addition to disparaging his client, Mr. Savino accused his client of initiating unwelcome advances toward a female Damon & Morey associate thus “requiring” him to provide another attorney to act as an escort. Mr. Savino then billed his client for both attorneys. EXHIBIT 24 St. Rita’s principals denied the allegations.