A 36-year-old Long Island real estate attorney was indicted Wednesday for allegedly using $1.2 million stolen from escrow accounts to pay for strip clubs, night clubs and luxury lifestyle purchases “unrelated to the victims’ real estate transactions.”
Terrance Dougherty of Oyster Bay pleaded not guilty to multiple counts of grand larceny and plotting to defraud, according to the Nassau County District Attorney’s Office.
“Instead of acting as a fiduciary and safeguarding his clients’ funds, this defendant allegedly burned through their money on high-roller nights out at gentleman’s clubs and other entertainment venues,” District Attorney Anne Donnelly reportedly charged.
Prosecutors said checks totalling $1,202,600 were deposited into an account managed by Dougherty between August 2023 and November 2024. By November 29, 2024, the balance was $5.35. The money was allegedly spent between May and August in 2024.
Dougherty’s actions allegedly impacted 20 clients involved in buying or selling property. Some of the transactions he was handling are said to have collapsed because of his alleged malfeasance.
The suspect was ordered to surrender his passport and return to court next Thursday. Patch.com reported that Legal Aid Society is handling his case. They didn’t immediately return a request for comment. Dougherty faces up to 15 years in prison.
Nassau County officials are asking that anyone who believes they may have been scammed by the defendant to file a complaint.
