Barrister for Harland Koops told the NSW Civil and Administrative Tribunal (NCAT) on Wednesday, 10 March, that errors involving a trust account breach were the result of an “honest but mistaken belief” and was not dishonest or wilful conduct.
Mr Koops held the position that it was his belief that the money in question that was transferred into a different account was not trust money and that it would have been different had he received written directions confirming oral directions from a client.
“In short, Mr Koops’ position is that the arrangement with his client resulted or arose from his clients’ wishes or concerns — and whether they are well founded or not are beside the point,” his counsel told NCAT. “The point that the respondent makes is that he did this to accommodate his client’s concerns.”
His barrister told the tribunal that the firm had continued to operate since it opened its trust account “without any issue” and had passed annual audits. A paralegal now working at the firm also has extensive experience in trust account management.
The council of the NSW Law Society was seeking a finding of professional misconduct and unsatisfactory professional conduct, which were both granted by the tribunal. It was also seeking a “mid-range” fine of $5,000 on top of a reprimand and a costs order as a sufficient consequence of Mr Koops’ conduct.
After some confusion as to whether Mr Koops had already undertaken further education, the tribunal has also ordered that he complete a trust account management course within 12 months. If he fails to receive a 50 per cent pass mark in that time, his practising certificate will be suspended until he does.
Lawyer for the society Louis Pierotti said the publication of the respondent’s name would also suffice, given that it “brings home to the practitioner and to the profession what this practitioner did wrong and what this practitioner can learn from it”.
