A specially assigned judge held a three-day trial in a Harris County courtroom last week before siding with representatives of the State Bar of Texas who said Bennett violated rules of professional conduct.
State District Judge Carmen Kelsey found that Bennett kept money from a $50,000 retainer that he did not earn and strung out litigation by repeatedly trying to appeal a final judgment.
In court, Bennett denied the allegations. Neither he nor his attorney returned calls for comment.
The order, signed Friday, also immediately prohibits Bennett from the practice of law. He is expected to appeal the ruling.
Bennett had been representing Graves, an exonerated Texas death row inmate who has filed a state bar grievance asking the state bar to discipline the prosecutor who wrongfully convicted him of capital murder.
Graves said Wednesday that he supports Bennett and believes the lawyer will win his appeal.
"It's an injustice and I'm confident he'll win the appeal," Graves said. Graves testified that Bennett helped him file a grievance against Charles Sebesta pro bono.
Graves, who was convicted in the 1992 murder of 45-year-old Bobbie Davis, her 16-year-old daughter and her four grandchildren, was released on Oct. 27, 2010, more than 18 years after his conviction.