A solicitor's career is in ruins after he was struck off by a tribunal which found he had acted dishonestly by failing to pay clients interest in a multi-million mortgage scheme.
Steven Wells, 49, a former director of Listers Solicitors in Manor Row, Bradford, was also ordered to pay cost of £15,802 when he appeared before the tribunal in London yesterday.
Matthew Lamb, 38, also a former director of Listers, was cleared of dishonesty. But he was suspended from practising as a solicitor for three years and ordered to pay £7,901 costs after he admitted breaches of accounts rules.
The tribunal heard the pair planned to help borrowers or homeowners in reducing the capital owing under their mortgage but instead ended up 'feathering their own nests'.
George Marriot, for the Law Society, said the scheme was to operate over a four year period. He said the homeowners agreed to pay a sum greater than the mortgage repayment into the client account of Listers Solicitors. The practice would then pay what was due under the mortgage and retain the balance in the client account. Mr Marriot claimed that in 43 cases, investigated by a Law Society accountant, the solicitors 'were under a duty under the solicitor's accounts rules to pay interest and they did not' and said the two solicitors acted deliberately to 'feather their own nests'.
Mr Lamb, of Hebden Bridge, when questioned by his representative, Jon Goodwin, said it was always intended interest should be paid to the clients and denied it was a scheme to 'fleece clients and cream off interest'.
He told the tribunal: "If you imagine myself and Steven Wells concocting a plan to relieve clients of their due interest, it defies logic."
The tribunal was told that Listers Solicitors had gone into liquidation since the Law Society probe.
Mr Wells, of Ash Croft, Wibsey, was bankrupt, said his representative Dermot Hughes.
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