Richard Melville Thomson

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

Richard Melville Thomson, a sole practitioner admitted in 1977, misused substantial client funds to meet his own salary, staff wages, council tax, finance agreements, insurance premium and VAT liabilities. A Law Society forensic investigation found numerous improper round sum transfers (£96,017 over Nov 2004-May 2005), VAT-related transfers, and 52 debit balances, producing a client account shortage that rose to £33,754.98 by 31 December 2005. He also failed to pay stamp duty in conveyancing transactions causing penalties, and failed to return £740 stamp duty money to a client after the property was found exempt. He admitted all allegations except dishonesty. Applying Twinsectra, the Tribunal found his conduct dishonest, holding he failed to ensure funds drawn could properly be taken and could not set his own standards of honesty. Despite strong mitigation (full replacement of shortfall, frank admissions, remorse, extensive testimonials, personal ruin and family hardship), the Tribunal struck him off the Roll and ordered him to pay agreed fixed costs of £23,926.36.

Duties found breached:

• No improper use of client money
• Prompt accounting and return of money
• Accounting records, reconciliation and reports
• Diligence and timeliness

Aggravating factors:

• Misuse of substantial client money for own and others' purposes
• Deliberately flouted the Accounts Rules
• No proper client liability comparisons undertaken for over two years
• Failed to protect lender clients' interests through failure to pay stamp duty and register transactions
• Matters not disclosed in annual Accountants Reports filed with Law Society