DAVID ANTHONY McCARTHY v LAW SOCIETY OF NEW SOUTH WALES [1990] NSWCA 122

DAVID ANTHONY McCARTHY v LAW SOCIETY OF NEW SOUTH WALES

SUPREME COURT OF NEW SOUTH WALES COURT OF APPEAL

SAMUELS, MAHONEY and CLARKE JJA 25 May 1990, 25 May 1990

[1990] NSWCA 122

Court of Appeal — Application for prerogative relief — To stay proceeding before Statutory Committee — Because of alleged wrongful admission of report pursuant to s306 of Companies Code — Application refused on facts and as matter of discretion — Application dismissed with costs.

Mahoney JA The plaintiff, a solicitor of the Court, was a director of Balanced Property Trusts a group which ceased to function, as the chronology has it, in December 1983. In January 1985 he received a letter indicating that the Law Society was conducting an investigation into certain of his property dealings and in April 1986 Mr George Palmer was appointed Inspector for the purposes of certain matters under the New South Wales Companies Code. In the same month the Law Society appointed Mr R McGeoch to make a report under s82(a) of the Legal Practitioners Act 1898 which is the provision which governs these proceedings.

In August 1986 the claimant was examined under provisions of s541 of the Code and in August 1987 Mr McGeoch presented his report. On 3 December 1987 the Council of the Law Society resolved to refer questions of the claimant's alleged professional misconduct to the Statutory Committee and on 10 December the appropriate notices were given that those matters had been referred for enquiry and investigation under s76 of the Legal Practitioners Act.

The reference was supported by the statutory declaration of Mr JR Hunt to which were exhibited Mr McGeoch's report and Mr Palmer's report.

The schedule to the reference, which sets out the questions, is divided into two sections. S1 relates to certain property transactions in which the claimant's conduct was alleged to have been disgraceful or dishonourable. These allegations were supported by the McGeoch report. When the matter came on before the Statutory Committee Mr McGeoch gave evidence in respect of them.