Decision record
Paul Francis Fallon
Allegation / charges
Breaches, Client Money, Failures, Others, Solicitors' Accounts Rules
Findings — machine-extracted (anthropic-batch:claude-opus-4-8); verify against the decision
The Respondent, sole principal of an LLP, faced eight allegations arising from an eight-month period of practice. The Tribunal found all allegations proved, including express findings of dishonesty in relation to failing to pay counsel and misappropriating client monies (allegation 1.1), making false statements to clients about settlement of counsel's fees (1.2), false statements about an adverse costs order (1.5.2), and failing to account for a duplicate payment (1.6). Dishonesty was NOT found proved in respect of the redirection of a rate rebate to his ex-wife's account (1.3), though the allegation itself was proved. Other proved allegations included exercising higher rights of audience without certification (1.4), practising without a valid practising certificate (1.7), and failing to make adequate arrangements for the firm's financial stability and management (1.8). The Respondent absented himself from the final day and offered no mitigation or testimonials. Given the dishonesty and misappropriation of client funds, and absence of exceptional circumstances, the Tribunal ordered him struck off the Roll and to pay costs of £160,000, not enforceable without leave of the Tribunal.
Duties found breached:
- No improper communication with the court
- Integrity
- Uphold public trust in the profession
- Act in the client's best interests
- Non-discriminatory acceptance and cab-rank
- No conflict between current clients
- No improper use of client money
- Prompt accounting and return of money
- Hold a current practising certificate
- Cooperate openly with regulators
- Not misrepresent regulated status
Aggravating factors:
- Multiple findings of dishonesty against several clients
- Misappropriation of client funds - the most serious misconduct
- Dishonesty perpetrated against a number of clients
- Lack of insight - showed no insight into what he had done
- Worrying arrogance towards clients and his obligations maintained throughout the trial
- Conduct spanned virtually every aspect of his practice over an eight-month period
- One client granted permission to appeal a High Court decision due to Respondent lacking higher rights of audience
Mitigating factors:
- No previous disciplinary matters
- Firm suffered severe cash flow difficulties due to a client's (D's) repeated failure to pay caused by the Greek economic crisis
- In one instance (DA) conceded he should have corrected a false statement
Duties engaged
- Overriding duty to the court
- Not mislead the court
- No improper communication with the court
- Honesty
- Integrity
- No bribery or improper gifts
- Personal probity and fitness to practise
- Uphold public trust in the profession
- No unlawful discrimination or harassment
- Act in the client's best interests
- Advise objectively, not a mere conduit
- Keep client informed and respond promptly
- Non-discriminatory acceptance and cab-rank
- No conflict between current clients
- No improper use of client money
- Prompt accounting and return of money
- Hold a current practising certificate
- Cooperate openly with regulators
- Pay instructed practitioners and agents
- Not misrepresent regulated status
- Serve justice and improve the law