A solicitor took money belonging to one client to pay back another because he claimed his financial and family problems left him with "nowhere to turn", the High Court heard.
Rody Kelly Corrigan, formerly practising as Rody Kelly Corrigan Solicitors, Glass House, Coke Street, Smithfield, Dublin, was suspended from the roll of solicitors for 12 months by the President of the High Court, Mr Justice Barniville, for what the judge said was admitted dishonesty and misconduct.
The judge said the investigation began in July 2019 following a complaint from one of Mr Kelly Corrigan's clients who had engaged him to act in the purchase of an apartment in Dublin.
Although the client provided the balance of purchase price to the solicitor to close the sale of the apartment, the monies paid over to the vendor’s solicitors were €50,000 less than the sum due.
Mr Kelly Corrigan immediately admitted to the Society's investigator there was a deficit in his client account. The deficit, which totalled €64,742, had arisen when he took €17,500 from a settlement of a case for another client to pay his mounting debts including professional indemnity insurance, professional and domestic expenses.
He repaid the €17,500 to the client by taking money from the account of the other client who was buying the apartment.
He also admitted wrongfully withholding €7,380 due to a senior counsel.
Personal loan
The court heard the client got a personal loan to close the apartment purchase and was later paid €58,466 from the Law Society's compensation fund.
Mr Kelly Corrigan later reimbursed the Society for that money from the sale of his (solicitor's) father's home. The debt to the senior counsel was also paid by him.
He told the investigator he had significant arrears on his mortgage, was the sole earner in his family and his wife had been diagnosed with a life limiting serious neurodegenerative disease.
They had five children, one of whom has increased care needs because of a birth condition.
He explained that with his mounting debts, he had "nowhere to turn" and as a result started taking funds from one client to reimburse another.
He later disclosed to the Society’s regulation of practice committee that he was so distressed he took certain initial steps to take his own life but fortunately called the gardai and, due to their intervention, agreed to return home.
The regulation of practice committee recommended an inquiry by the SDT which found him guilty of misconduct by misappropriating the monies.
Strike off
The SDT did not recommend strike off but recommended certain conditions on him primarily that he could not practice as a sole practitioner and should have no access to client monies.
Throughout the process, the solicitor expressed his remorse and shame and pleaded to be given an opportunity to return to practice, the judge said.
The Society however recommended his strike off to the High Court to discourage other solicitors from such conduct and to maintain the reputation of the profession. .
Mr Justice Barniville said in all the circumstances of the case, and notwithstanding the undoubtedly very serious misconduct involved, he was just about persuaded, by a fine margin, that a strike off would not be a proportionate sanction in this case.
However, the sanctions recommended by the SDT would fall short of what was required and he said a 12-month suspension, along with conditions should he return to practice, should be imposed.
The conditions include that he is not permitted to practise as a sole practitioner or in partnership and only as an assistant solicitor in the employment and under the direct control and supervision of another solicitor of at least ten years’ standing. He must also not have access to client funds.
The case is to be re-entered by the Society if there is any breach of the conditions or repeat dishonesty.
He must also pay €3,554 for the costs of the Society's application to the court and €1.152 towards the SDT’s costs.
