Michael Lyons & Kelly Lyons

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

Michael Lyons, a solicitor practising as Lyons Solicitors, acted for both seller (DF) and buyer (WH) in the sale of Flat 12. DF sold for £115,000 while WH paid £125,000; there was no genuine sub-sale, and the £10,000 difference was misappropriated and routed through Orchards Estate Agency operated by his wife/clerk Kelly Lyons. False TR1 and AP1 forms were submitted to HMLR including a falsely attested witness signature by Kelly Lyons (DF having never met her). The First Respondent also made improper client account withdrawals, failed to comply with FIO requests and Section 44B Notices, failed to disclose material information to clients, and failed to remedy the shortage. The Tribunal proceeded in the Respondents' absence and found all allegations proved beyond reasonable doubt, including express findings of dishonesty against both Respondents under the Twinsectra test. Michael Lyons was struck off; Kelly Lyons received a Section 43 employment restriction order and a £10,000 fine. Costs of £38,800.65 were ordered jointly and severally.

Duties found breached:

• No improper communication with the court
• Disclose material information to client
• Advise objectively, not a mere conduit
• No conflict between current clients
• Handle inadvertently received material
• No improper use of client money

Aggravating factors:

• Proven dishonesty that was deliberate, calculated and a complete departure from professional standards
• First Respondent was an experienced solicitor
• Motivated by financial gain
• Concealment of misconduct by routing payments through the Estate Agency to disguise the £10,000 difference
• Initial denial of impropriety when confronted by client DF
• Failure to co-operate with the regulator
• Direct harm caused to clients WH and DF