The Solicitors Regulation Authority (SRA) told a disciplinary tribunal on Monday that a law firm director dishonestly concealed his firm’s acquisition of another company’s work and staff after his insurer declined to offer coverage for the changes.
The SRA accused Anis Yusuf Dadu, director of XYZ Law Ltd., of providing false information to his professional indemnity insurer regarding the firm’s acquisition of files from another company. According to the regulator, Dadu failed to disclose a significant change in the firm’s operations despite having signed a succession agreement to take on new matters.
Allegations of Dishonesty
Representing the SRA, Matthew Edwards of Capsticks LLP, said Dadu knew the declaration he made to the insurer—that the nature of his firm’s work had not significantly changed—was false. “Ordinary or decent people would regard such conduct as dishonest,” Edwards told the Solicitors Disciplinary Tribunal.
Dadu is facing possible removal from the roll of solicitors due to the SRA’s allegations concerning his professional indemnity insurance arrangements in 2020 and 2021.
Acquisition Without Insurance
The dispute centers on XYZ Law’s acquisition of files and staff from Notary Express Ltd. in December 2020. The SRA claims that XYZ Law attempted to update its insurance to cover the new work but was declined by the insurer. Despite this, Dadu proceeded with the acquisition by signing two succession agreements.
