The National Ethics Council ("NEC") has suspended AIA member Robert Denzil Lee from membership in the Institute for two years for violating Rule 2.104 of the Institute's Code of Ethics and Professional Conduct ("Code"). Rule 2.104 states that "Members shall not engage in conduct involving fraud or wanton disregard of the rights of others." The commentary for Rule 2.104 provides that "[t]his Rule addresses serious misconduct whether or not related to a Member's professional practice."

Mr. Lee was one of the shareholders and directors of a consulting firm ("firm") that was created to provide forensic consulting for architectural and construction defect litigation cases. The firm has now ceased operations. The Complainant in this case was also one of the shareholders and directors in the firm, as was his wife.

The NEC found two violations of Rule 2.104 by Mr. Lee:

• Mr. Lee had responsibility for managing and disbursing the firm's funds and thus had a fiduciary duty to the Complainant. The NEC confirmed a finding of an arbitrator (later enforced by judicial order) that Mr. Lee had violated that duty by disbursing a substantial, disproportionate share of the funds to himself, to the disadvantage of the Complainant and the Complainant's wife.

• Mr. Lee prepared a letter that contained only the Complainant's name in the letterhead, and that falsely identified the Complainant as an attorney. It was sent to a third person and threatened legal consequences for that person unless he took actions that Mr. Lee secretly desired. The letter bore the Complainant's forged signature. The Complainant had nothing to do with the letter's preparation or transmittal and knew nothing about it until after it was sent.

The NEC found that the Complainant had failed to satisfy his burden of proving a third alleged violation, this one involving Rule 4.201.

The NEC noted the particularly egregious nature of Mr. Lee's conduct in connection with both of the violations described above, chiefly because of the actual financial harm to the Complainant and the potential damage to his reputation. Moreover, Mr. Lee's sworn testimony and other statements at the hearing in the case reflected not only his indifference to any consequences that might occur as a result of his actions, but also a failure to recognize the serious and reprehensible nature of his conduct.

Given these factors, as well as the role Rule 2.104 is designed to play in addressing serious misconduct by members of the Institute, the NEC has imposed a penalty of a two-year suspension from membership. During the suspension, Mr. Lee is prohibited from exercising any of the rights and privileges associated with AIA membership, including use of the Institute's name, initials, or symbols, until reinstated in good standing.

Copyright 2002 The American Institute of Architects. All rights reserved.