Douglas William Stevenson

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

Douglas William Stevenson, a Chartered Accountant employed as financial controller of Durnford Ford solicitors, was subject to a Law Society application for a Section 43 order. The senior partner, Graham Durnford Ford, had been struck off and jailed for 10 years for fraud involving fictitious bills and misuse of over £711,000 of client money. The Tribunal found the allegation substantiated: it was inconceivable that a man of Stevenson's background would not have questioned what was going on, especially given concerns raised by junior staff. The Tribunal found he 'turned a blind eye' but expressly noted the allegation was NOT that he was complicit in the fraud (no dishonesty finding). The Tribunal made the Section 43 order restricting his employment within the profession and ordered him to pay only the costs relating to the enquiry leading to his proceedings, to be taxed if not agreed.

Duties found breached:

• No improper use of client money
• Honour professional undertakings

Aggravating factors:

• Respondent was a Fellow of the Institute of Chartered Accountants, qualified to police compliance with the Solicitors Accounts Rules
• Maintained records of substantial 'negative work in progress' (over-charging/charging in advance) yet took no action
• Ignored concerns expressly raised by less-qualified members of staff
• Serious client account shortage of over £711,489 and controlled trust shortage of £125,492, with Compensation Fund claims reaching £9.6 million

Mitigating factors:

• Not alleged to be complicit in the senior partner's fraud
• Senior partner Durnford Ford was described as secretive and Machiavellian and deceived even his own partners
• Respondent was not prosecuted by the police
• Firm structure was designed so key accounts staff had only an incomplete picture