Andrew Derrick John Farmiloe

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

Andrew Derrick John Farmiloe, a solicitor admitted in 1975, acted as trustee in the Optimum Returns (BFIG) high yield investment scheme. He released the entire trust fund (£9.452 million) to non-qualifying banks without obtaining adequate security, in breach of the trust terms he had himself drafted. The Tribunal proved allegations 1, 2, 3, 7 and 8, finding recklessness in allegations 1, 3 and 7. He gave investors assurances of little/no risk despite not understanding the Scheme and ignoring warnings from fund managers. The Tribunal expressly found he was credible, not ill-intentioned and NOT dishonest (he had been duped). Nonetheless, for protection of the public, he was struck off the Roll and ordered to pay £22,000 costs (not enforceable without the Tribunal's leave given his bankruptcy).

Duties found breached:

• Proper basis for allegations
• No improper communication with the court

Aggravating factors:

• Released entire trust fund to non-qualifying banks in breach of trust terms he himself had drafted
• Reckless conduct found in releasing funds without adequate security
• Ignored multiple warning signs from fund managers questioning the Scheme's legitimacy
• Scheme exhibited characteristics of fraudulent transactions (high yield investment fraud) which he agreed with
• Failed to disclose matters to firm's Risk Committee despite attending meetings
• Significant sums involved (over £9.4 million)
• Experienced solicitor of 34 years' qualification

Mitigating factors:

• Tribunal found him a credible and not ill-intentioned witness
• No finding of dishonesty - he was found to have been duped
• Did not benefit financially from the Scheme
• Acting under significant work pressures and personal pressures (house move, elderly mother)
• Investors were ultimately repaid by Trident's insurers
• Expressed remorse and accepted responsibility
• Allegations 4, 5 and 6 were not proved