A Vancouver real estate lawyer has been suspended for 16 weeks following his mishandling of approximately $9 million. The funds were processed through his trust account in a series of questionable real estate and private loan transactions connected to two clients arrested in a Vancouver Police Department drug-trafficking investigation.
Key Takeaways
- A B.C. lawyer, Gary Lo, received a 16-week suspension from the Law Society of British Columbia.
- The suspension stems from mishandling $9 million in suspicious transactions linked to alleged drug traffickers.
- The case highlights concerns about money laundering risks in B.C.'s real estate market, echoing findings from the Cullen Commission.
Lawyer's Actions and Findings
Gary Lo acknowledged in a November 2025 consent agreement that between December 2015 and June 2022, he handled 12 files involving unclear sources of funds and high-value transactions. These dealings were with clients identified as AA and BB, whose occupations were unknown and lacked discernible connections to the properties involved. Notably, these clients were already facing civil forfeiture actions related to a Vancouver Police Department drug-trafficking investigation.
Vancouver police seized property from AA, BB, and two others in May 2016, along with items such as money counters and cellphones. By July 2016, B.C.'s Director of Civil Forfeiture had placed a security interest on their assets.
Broader Implications and Previous Discipline
While the Law Society's disciplinary document does not explicitly draw a connection, the circumstances align with the money-laundering risks identified by the Cullen Commission. The commission found that organized crime groups, including Chinese transnational networks, exploited British Columbia's real estate market, casinos, law offices, and courts to move substantial sums of illicit funds, often through private loans secured against property.
Justice Cullen's 2022 final report specifically emphasized the significant money-laundering risks associated with lawyers' trust accounts and private lending arrangements within B.C.'s real estate sector. The report noted that lawyers frequently handle purchase funds and mortgage proceeds in trust and structure private loans that can facilitate the introduction of illicit cash into the formal property system.
This disciplinary action against Gary Lo marks his second major case in recent years.
