Disgraced and disbarred, former Calgary lawyer faces up to two years in jail for theft

The prosecution wantsformer Calgary lawyer Floyd Campbell to spend 18 to 24 months injail for his role in a real estate scheme that swindled investors out of millions of dollars.

Peter Mackenzietold provincial court judge Anne Brown that a conditional sentence should not be made available to Campbell because of the breach of trust the former lawyer engaged in.

Campbellstole $225,000from an investor to help finance a fledgling development in Mexico. The money was supposed to be held in Campbell's trust account.

He was originally charged with 30 counts of fraud and theft but pleaded guilty to just one count of theft involving the $225,000 from SWA Holdings Inc.

Campbell's lawyer argued for a conditional sentence that would includehouse arrest, probation and community service work.

'Unbelievably sorry'

Campbell, who is now living in Manitoba, offered an apology forwhat he did.

"I'm unbelievably sorryfor what I did to the victim, the law society, the court, as a former officer of the court,my family," he said.

Campbell said he was "severed" from his family in the fall of 2012 when he committed the theft and had contemplated suicide.

His lawyer, Derek Jugnauth,told the court Campbell has paid $427,000 in restitution and is trying to sell his Mexican properties to settle outstanding claims from investors.It's unclear exactly how much Campbell owes his former investors.

Campbell admitted to the Law Society of Alberta that he misappropriated at least $3.5 million. The money was taken from investors who had provided funding for various bridge financing deals involving homeowners who had no knowledge their properties were being used in the scheme.

Campbell also admitted to forging the signature of his former business partner, Brandon Antonini,on numerous occasions.

'Unusual circumstance'

Crown prosecutor Mackenziedid not provide full details during the sentencing hearing, but described an unusual circumstance involving a colleague in the prosecutor's office. Campell was subpoenaedand was preparing to testify against Brandon Antonini, but the prosecutor decided against calling Campbell as a witness.

"I have no idea why she made the decision not to call Floyd Campbell as a witness, this is an unusual circumstance," said Mackenzie.

"I can tell you that particularcircumstance has impacted the Crown's position with respect to resolution on this matter," Mackenzietold the court.

It led to an agreementthat saw Campbell admit to just one charge of theft.

Antonini's trial went ahead in March, without Campbell as a witness.

The law society's insurance fund paid out $3,527,854 related to six claims from investors.In 2015,the law society said it had received 22 complaints allegingmisappropriation.

Calgary police pegged the total amount of moneystolen from investors at $5 million.

Campbell was disbarred in April 2015.

One of the complaints involved the sale of a property in northwest Calgary. Campbell admitted to misappropriating$1.7 million from the sale of the home to finance his business interests, including thereal estate project in Huatulco, Mexico.

Instead of forwarding the proceeds from the house sale to the sellers, Campbell left the province and moved to Winnipeg.

Campbell's wife, Susan Auch, was the realtor involved in the sale of the property. Although the former Olympic speedskater was a shareholder in one of the companies controlled by Campbell and Antonini, she did not have signing authority for the company's bank account. She has not been charged in any of the matters involving her husband.

Antoniniwas found guilty earlier this month of 23 counts of fraud and theft and will be sentenced in November.

Campbell will be sentenced in October.