Kenneth Hunt & Barbara Gayton

Findings — machine-extracted (anthropic-batch:claude-opus-4-8); verify against the decision

Kenneth Hunt (admitted 1970) and Barbara Gayton (admitted 1983), partners in Hunt Kidd Law Firm LLP, Newcastle upon Tyne, improperly transferred and misappropriated client funds resulting in a cash shortage exceeding £1 million over about a year from October 2008. Both were convicted of fraud by abuse of position (Hunt sentenced to 4 years, Gayton to 2 years imprisonment). They admitted all allegations including dishonesty. The Tribunal found dishonesty proved under the Twinsectra test and found all allegations proved beyond reasonable doubt. Both were struck off the Roll. Costs of £25,000 were apportioned 4/5 to Hunt (£20,000) and 1/5 to Gayton (£5,000), reflecting differing culpability, not to be enforced without leave of the Tribunal.

Duties found breached:

• No taking unfair advantage
• No conflict between current clients
• No improper use of client money
• Diligence and timeliness
• Report serious misconduct of others

Aggravating factors:

• Cash shortage on client account exceeding £1 million
• Sustained course of dishonest conduct over roughly a year (October 2008 to October 2009)
• Abuse of position of trust
• Criminal convictions for fraud by abuse of position with imprisonment (4 years for Hunt, 2 years for Gayton)
• First Respondent instigated the fraud
• Second Respondent failed to blow the whistle and continued/assisted the fraud

Mitigating factors:

• No previous disciplinary matters
• Full and voluntary disclosure of records to SRA investigators, making the investigation easier
• Admitted all allegations including dishonesty
• Conduct motivated by attempt to keep the firm afloat and preserve staff jobs rather than pure personal gain
• Second Respondent did not instigate the fraud and acted out of misguided loyalty (lower culpability)