Toronto lawyer goes on trial over alleged bad cheque in fraud case

A Toronto lawyer is on trial in provincial court after being accused of fraud tied to the collapse of his former law firm, Cartel & Bui LLP. Prosecutors allege Nicholas Cartel wrote a $300,000 cheque in February 2023 to help cover a shortfall in the firm’s trust account, which had been left underfunded amid a broader clientmoney scandal. Cartel, who cofounded the firm with his wife Singa Bui, has not denied writing the cheque but says the conduct did not amount to fraud. He has also argued that prosecutors withheld evidence and mischaracterized other material, and he told the court he may seek to have the charge stayed on Charter grounds. At the start of the trial in Toronto, a bank investigator testified about the personal account the cheque was drawn from, saying it had a negative balance for months before the cheque was issued. Prosecutors also introduced bank records showing the account statements were in Cartel’s name alone. The trial is expected to continue with additional testimony from TD Bank about the firm’s trust account.