Lawyer fined after hiding husband's stealing from client

A LAWYER who kept quiet about her husband's theft of more than £24,000 from a client has been found guilty of professional misconduct.

Catriona Macfarlane, 49, was fined 2,500 by the Scottish Solicitors' Discipline Tribunal, which said she had acted "completely contrary" to the standards expected in the legal profession.

The client had not known that his mortgage broker and his solicitor were married, and although Mrs Macfarlane had assured him that his 24,150 was safe, she knew it had been "misappropriated" and spent by her husband, Nigel.

Later, Mr Macfarlane confessed and the money was repaid.

Mrs Macfarlane, of Loganswell, Newton Mearns, Renfrewshire, was reported to the tribunal by the Law Society of Scotland. She "felt unable" to attend the disciplinary hearing, but submitted a letter in which she admitted what had happened.

The man, referred to as Mr A, was looking to buy a house in 2006, and contacted a firm which arranged mortgages.

Mr Macfarlane dealt with his application, and the man provided 24,150 for a deposit. Not knowing of the connection, he instructed Mrs Macfarlane, of the law firm, Hasties, of Lynedoch Crescent, Glasgow, to act for him in the deal.

The purchase was delayed because of problems with the mortgage, and in early February 2007, Mr A telephoned Mrs Macfarlane and told her he had given cash to the broker. "She said only that she would call him back," said the tribunal in its judgment.

"She called back a short time later. She said that, having spoken to the broker, she was able to confirm that Mr A's money was safe and could be returned to him at any time.

"By this stage, she was aware that her husband had misappropriated Mr A's money. On 19 February, Mr Macfarlane came to Mr A's house and confessed … that he had spent his money. He promised to 'sort things out'.

"Mr A and his wife were by this time suspicious. Although Mr Macfarlane and Mrs Macfarlane referred to each other as 'the broker' and 'the solicitor' they shared the same surname.

"Mr A and his wife confronted Mrs Macfarlane. She confirmed that she and Mr Macfarlane were married."

A week later, Mrs Macfarlane withdrew from acting for Mr A. The purchase was completed and all additional costs were recovered from Mr Macfarlane and the 24,150 was repaid.

The Law Society submitted that there was "the clearest evidence" of a conflict of interest.

It said Mrs Macfarlane had been aware of her husband's dishonesty by 7 February, 2007, and had not taken steps to come out of the case until 26 February.