The Law Society has paid out €2.35 million to former clients of the firm operated by Mr Elio Malocco, the solicitor who was jailed in 1995 for defrauding the Irish Press group.
The payout is the second-largest made by the society's compensation fund, after the estimated €7.5 million paid to former clients of Jonathan Brooks, a solicitor who committed suicide in 1992.
According to the director-general of the society, Mr Ken Murphy, the actual amount paid out in respect of Mr Malocco's former firm, Malocco and Killeen, is slightly higher than the net sum quoted, but some monies have been recovered from the firm.
Mr Malocco has challenged a decision by the society's disciplinary tribunal to strike him off the register of solicitors. The High Court heard the case in March, but no judgment has been delivered yet.
According to Mr Murphy, Mr Malocco's name still appears on the roll of solicitors, but he has not been entitled to practise since 1991.
Mr Murphy said the solicitors' compensation fund had recovered from the "dark days" of a few years ago when large numbers of claims were made by former clients of both Malocco and Brooks. Currently, the fund has assets of €27 million.
The fund is provided by annual subscriptions from practising solicitors. On average, each solicitor contributes about €500 a year.
Mr Malocco was jailed for five years in 1995 on fraud charges involving €86,970, money which had been given to him by the Irish Press group to deal with libel cases.
After serving two years in jail, he entered journalism and then the film business.
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