WEST CHESTER, Pa. — A suspended real estate attorney has been arrested for allegedly stealing funds from clients while handling a home purchase, according to the Chester County District Attorney’s Office.
James Vassallo, 55, of Voorhees, New Jersey, faces multiple charges, including theft by failure to make required disposition of funds and theft by deception. He turned himself in to authorities on January 22 and was arraigned by Magisterial District Judge Erin Bruno, who set an unsecured bail of $50,000. A preliminary hearing is scheduled for February 28.
Prosecutors say Vassallo was hired in early 2023 to assist clients in purchasing a home in Downingtown, Pennsylvania. Though his law license had been suspended since August 2018, he allegedly collected funds meant for settlement expenses but failed to use them for their intended purposes.
Court records show that Vassallo did not pay fees and taxes, file the deed, or purchase title insurance as required. In May 2023, after failing to reach him, a victim contacted the Chester County Recorder of Deeds and learned that the deed to her home had never been recorded. She later discovered that the title insurance policy provided at settlement was fraudulent.
Authorities allege that Vassallo kept the client’s money instead of paying for the necessary services.
A preliminary hearing will determine the next steps in the case against Vassallo.