Richard Harbord

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

Richard Harbord, a solicitor and partner/sole practitioner and COFA of two firms, admitted allegations of using the client account as a personal banking facility for proceeds of sale of two properties (his own money), failing to obtain multiple years' Accountants' Reports for both firms, failing to cooperate with the SRA, and failing in his COFA duties. The Tribunal found breaches of the Accounts Rules, several Principles, and a lack of integrity (Principle 5), but expressly did NOT find dishonesty. It also declined to find breaches of Principle 6/Principle 2 (public trust) as the client account misuse was a technical breach involving his own funds, and declined to find the delivery obligation (Rule 32A.1(b)/12.1(b)) breached since the unprepared reports could not be shown to be qualified. The Tribunal imposed a level 3 fine of £8,500 and costs of £40,000, the latter not enforceable without leave of the Tribunal given the Respondent's bankruptcy and uncertain finances.

Duties found breached:

• Integrity
• Act only on proper, lawful instructions
• Non-discriminatory acceptance and cab-rank
• No improper use of client money
• Accounting records, reconciliation and reports
• Firm governance, systems and compliance
• Cooperate openly with regulators
• Good faith and courtesy to colleagues

Aggravating factors:

• Previous disciplinary history including a 2012 finding of Accounts Rules breaches (repeated behaviour)
• Prior 2017 Tribunal finding and 2003 severe reprimand
• Deliberate failure to cooperate with the regulator over a long period
• Conduct continued for a considerable period of time
• Less than frank/obfuscating assurances to the SRA regarding accountants' progress

Mitigating factors:

• Enduring health issues preventing work for prolonged periods
• Financial hardship / bankruptcy reducing ability to pay accountants
• Full and open admissions and genuine insight
• Cooperation in the proceedings via Statement of Agreed Facts
• No harm caused to third parties in relation to Allegation 1.1 (funds were his own)
• Apologised to the Tribunal