THE HIGH Court has struck off a solicitor who had a deficit of €1.18 million in client funds.
Mr Justice Iarfhlaith Ó Neill granted the strike-off order on the application of the Law Society against Michael Small, who became enrolled as a solicitor in 2003. Mr Small opposed the application.
The solicitor , who carried on a practice at Carraig House, Newenham Street, Limerick, was also ordered to pay restitution to the solicitors’ compensation fund.
In an affidavit for the society, solicitor Mary Fenelon said the Solicitors’ Disciplinary Tribunal had recommended last April that Mr Small be struck off after an investigation revealed he had allowed a deficit of client funds of €1.181 million to accrue.
Mr Small also operated a secret account bank account where funds of approximately €1.2 million were lodged, used client funds to discharge the mortgage debts of clients who defaulted on mortgages, paid funds to third parties, withdrew money for his own use and failed to maintain proper records, she said.
Mr Small further allowed claims of €1.123 million to arise on the solicitors’ compensation fund, with more than €428,000 already paid out, she said.
His actions were “very serious” and there was “no option” other than to seek an order striking him off, she added.
Cahir O’Higgins, a solicitor representing Mr Small, asked the court not to strike off his client and to consider mitigating circumstances, including the effects of what had occurred on Mr Small’s personal life and health.
Mr O’Higgins asked the judge to consider allowing Mr Small continue to practise but under the supervision of a solicitor of no less than 10 years’ standing. While it was accepted it was difficult to argue against Mr Small being struck off, he had come under the influence of mortgage brokers and had not benefited personally from what had occurred, Mr O’Higgins added.
Mr Justice Ó Neill said, having considered all the matters before him, he was fully satisfied to make the order striking off Mr Small.