B J F Dunleavy & A M Ahmed

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

Two Cardiff solicitors practising in partnership (Dunleavy & Co / AMA Law) faced nine allegations following Law Society Forensic Investigation Officer inspections. They admitted allegations (a),(b),(c) regarding deficient/unproduced books of account and use of one client's funds for another (notably the Mr Q matter where a client ledger went into a c.£21,000 debit). The Tribunal found allegations (d),(f),(g),(h) and (i) substantiated. It found both Respondents dishonest (applying Twinsectra and Bultitude) in 'sweeping up' small client credit balances into office account labelled as 'disbursements' without honest belief in entitlement, and in transferring funds from client to office account improperly. Dishonesty was NOT found on the indemnity insurance disclosure (allegation i), where Mr Ahmed was found careless but not dishonest. Both were struck off the Roll, ordered to pay £9,500 investigation accountant costs each plus assessed costs jointly and severally.

Duties found breached:

• Not mislead third parties or opponents
• Keep client informed and respond promptly
• No improper use of client money
• Accounting records, reconciliation and reports
• No baseless or threatened misconduct report

Aggravating factors:

• Previous disciplinary findings against Mr Dunleavy (one-month suspension in 2001 under s.41, reprimand in 2004 for practising without a practising certificate)
• Continuing accounting breaches between 2002 and 2006 despite earlier inspections and warnings
• Conflicting and unsatisfactory explanations given for transfers
• Transfers made/replacement bills produced after IO inspection had commenced
• Clients led to believe disbursements had been paid when they had not
• Failure to keep attendance notes to support claims

Mitigating factors:

• Sums of money involved were relatively small
• Books eventually brought up to date
• No client complaints; firm continued to be instructed
• Mr Ahmed going through stressful divorce at material time
• Mr Dunleavy's ill health
• Insurers said to be aware of circumstances; no loss demonstrated