Bust solicitor is still handing out legal advice

A SOLICITOR who went bankrupt due to a £70,000 tax debt is still offering legal advice – while his former clients pursue him for cash.

David Hawker, a Southend solicitor of 30 years, was forced into bankruptcy by the Inland Revenue, causing firm Raffan Hawker, based in Clarence Street, Southend, to close.

The bankruptcy, plus ongoing inquiries by national watchdog, the Solicitors Regulation Authority, mean he can not legally act as a solicitor.

One former client is owed £10,000 and Mr Hawker faces a disciplinary tribunal if he does not pay up.

At least five others are trying to retrieve their share of thousands of pounds frozen in Raffan Hawker’s client account by the Official Receiver.

Yet a loophole in the law means Mr Hawker can still offer legal advice as an unregulated “consultant”, under new guise of Hawker Consulting.

Mr Hawker says he is dealing mainly with former Raffan Hawker clients, but can no longer act for them in court as a solicitor would.

An Echo investigation found he failed to notify the Official Receiver he was trading under a new name, a legal requirement, when he set up Hawker Consulting in January.

Our undercover reporter posed as a private landlord who believed Mr Hawker was still a solicitor and booked an appointment at his new office in Clifftown Road, Southend.

Mr Hawker, 58, of Clifftown Parade, Southend, advised our man how to evict a tenant.

But he failed to make it clear to our our reporter he could no longer act as a solicitor, which again he is required to do by law, despite our man referring to him as being a solicitor five times.

He also flouted insolvency laws by failing to declare he went bankrupt trading as Raffan Hawker.

Later, in a full and frank interview with the Echo, Mr Hawker said he would notify the receiver of his new firm and ensure all future clients are fully informed of his position.

Following our revelations, the Solicitors Regulation Authority warned consumers against taking legal advice from unregulated outfits.

It was very concerned about Mr Hawker not being clear about his professional status to our reporter and has requested to see our evidence. Spokesman Geoff Negus said: “We would expect anyone to be absolutely honest with the client as to professional status.”

Mr Hawker wrote to some clients blaming the closure on the recession, saying they would be contacted by his professional body, the Law Society.

This did not happen and Mr Negus stressed it was not the Law Society’s responsibility to do so.

Mr Hawker’s letter also claimed his firm was a member of the Personal Injury Lawyers Association, but its spokeswoman, Lisa Wardle, said: “His membership lapsed in 2006.”

The Solicitors Regulation Authority received around 30 official complaints about Mr Hawker in the past ten years.

Its conduct investigation department is probing issues concerning his practice, including allegations he traded as a solicitor without a licence for three days after the bankruptcy, declared at the High Court last October, and failed to provide his 2008 accountant’s report required last June.

In October 2008, it put a condition on his practice certificate which stated he must undertake training in client care and complaints handling, after it found him in breach of client care obligations in August 2007.

IT WAS A VERY BITTER BLOW FOR ME TO SHUT THE FIRM

DAVID Hawker said he was unlikely to practise as a solicitor again, but proudly defended his 30-year record.

In a full and frank interview, he described losing his practice as “painful”, but admitted to mistakes and falling foul of regulators.

He said: “I acknowledge I paid less heed than I should to ever-increasing regulatory issues. My view, wrongly, was to put clients’ legal issues first and red tape second. That error came to revisit me with a vengeance.”

He said tax debts compounded by annual solicitors’ indemnity insurance rising from £11,000 to £35,000, and less business due to the recession, meant bankruptcy was the only option. He said: “It was a very bitter and distressing blow for me to close the firm.”

He insisted he had not abandoned the practice and tried to contact all his clients, but was forced to close on October 8.

He said: “I was under the impression if my firm closed due to bankruptcy, the Law Society would intervene and send its own people in, but it hasn’t.

“That is why I said my professional body would contact clients.

“I haven’t been a solicitor in this town for 30 years because I’ve been a lousy solicitor, my claims record shows that.

“I’ve helped hundreds of people.”

Mr Hawker said there had only ever been one negligence claim against Raffan Hawker, and that was 14 years ago.

He said: “I have done a lot of work for free. I went into law because it’s a vocation. The loss of my ability to practise is painful.”

He pointed to a recent Law Society report giving a glowing report of Raffan Hawker’s commitment to clients. Asked if he would practise again, he said: “I’ve lost the flavour for it.”

He will now be informing the Official Receiver he was trading under a different name.

He said: “That I wasn’t aware of, but I am aware of that now.

“I couldn’t say specifically if they are aware or not, but what I will be doing is telling them.”

He said as a solicitor, he would have found it annoying that other people could give unregulated legal advice, but now he had no option but do so himself. He said: “I’ve got some skills that have arisen over 30 odd years.

“The best thing to do is try to earn a modest living without having to go on state benefits.”

ANSWERS TO OUR QUESTIONS

WE asked Mr Hawker about all the issues unearthed during our investigation and this is what he had to say: l On 30 complaints in ten years...

“I have dealt with thousands of people. I do not believe any related to poor advice.

“I suspect a number were more recent references to the Law Society by former clients seeking details of my whereabouts.”

l On not filing a 2008 accounts report...

“I could not and cannot now afford the very considerable expense of employing an accountant.”

l On claiming to be a member of the Association of Personal Injury Lawyers...

“I was unaware that my annual subscription had not been renewed. This was an administrative oversight.”

l On being forced to undertake client care training...

“I have to undertake a half day course on client care letters.”

l On trading for three days after bankruptcy without a licence...

“I did not apply for a practising certificate on October 1. The firm’s office was open between October 1 and 8, we did not undertake any professional work, with one exception. The Law Society was aware.”