An investigation by the Law Society has disclosed "multiple acts of dishonesty" by a Co Kerry solicitor, the High Court was told yesterday.
Mr Justice Michael Hanna granted the society orders freezing bank accounts relating to the practice of Michael Gleasure and Co, Main Street, Tralee, Co Kerry, and directing the handing over of client files.
Paul McDermott, counsel for the Law Society, said the investigation had shown that approximately €196,000 of clients' money had been transferred from client accounts to the solicitor's office account.
Edward Sheehan, a chartered accountant in the regulation department of the society, said in an affidavit that he had carried out a four-day investigation of Mr Gleasure's practice and had found multiple acts of dishonesty and multiple breaches of society regulations.
He claimed that Mr Gleasure had been misappropriating client funds by systematically transferring money from the client accounts to the office account.
There were no fee notes to support the transfers and there had been no evidence of work done on the files to justify the transfer of funds.
Mr Sheehan stated that the funds misappropriated included probate money, stamp duty funds, loan amounts and funds from property sales.
In his report he had set out 10 examples which were not exhaustive of or consisted of the entirety of the problem.
He estimated that a minimum of €196,000 of client money had been misappropriated by Mr Gleasure who, his investigation disclosed, was in financial difficulties, owing the Revenue in excess of €100,000. Three banks were owed a total of €69,000.
Mr Sheehan stated that breaches of the society's regulations included multiple withdrawals from the client accounts by Mr Gleasure which did not relate to either outlay or fees properly incurred.
He said the company's books of account had not shown the true financial position in relation to transactions with clients' money.
Mr Justice Hanna granted the society injunctions freezing a number of Mr Gleasure's bank accounts and restraining him from disposing of any assets.
He said the court was making no finding in the matter and also directed Bank of Ireland, Ulster Bank and Anglo-Irish Bank to furnish the Law Society with any information in their possession relating to any aspect of the financial affairs of Mr Gleasure's practice.
An application by Mr Gleasure's solicitor, John Sexton, to have the matter heard in camera was not granted by Mr Justice Hanna.
Mr McDermott had told the court that such applications by the society were made to protect the public and the general principle was that they were heard in public unless there was come compelling reason why they should be heard in camera.