A prominent Dublin-based solicitor, whose assets were frozen by the Law Society last week, has given an undertaking to the High Court that he will not practice as a solicitor without permission from the court.
A report by the Law Society's regulation of practice committee disclosed 'acts of dishonesty' on the part of Michael Lynn in relation to clients' money.
Mr Lynn, who practices as Capel Law in Dublin, was investigated by the society due to concerns about his property dealings.
Mr Lynn has a multi-million euro portfolio of more than 100 properties in a number of different countries.
The High Court has been told that, since January this year, Mr Lynn has drawn down loans totalling more than €26m and has purchased around 40 properties, all financed by loans.
It is alleged that he took out multiple mortgages on a number of his properties with several banks.
The society's authorised officer found that the books of account in Mr Lynn's practice were totally unreliable, that he was using bank drafts, which were difficult to trace and that he was using drafts drawn on clients' accounts to finance personal transactions.
The society also says Mr Lynn failed to provide files and documentation as requested and it was impossible to assess the accuracy of the books of account.
The society went to the High Court last week to freeze Mr Lynn's assets to protect clients' monies and prevent further misappropriation.
The case was heard in open court this morning after an application by the Law Society to allow the media and the public to be present.
The court heard that Mr Lynn has 105 properties in countries including Slovakia, Bulgaria, China, Spain, England, and Dubai.
Those that are free of mortgages will be made available to meet his liabilities the court heard.
Mr Lynn must now draw up a list of all his properties, their addresses and their mortgage status.
The court was also told that Mr Lynn has arranged a meeting this Friday with a syndicate of banks to identify the measures he needs to take to ensure that his liabilities are paid.
The court was also told that Mr Lynn is insured for €11 million with three different insurance companies.
Mr Justice Richard Johnson was told that suspending Mr Lynn's certificate to practice as a solicitor might affect his insurance. The judge said he would leave the practicing certificate in place until the insurance situation is clarified.
The case will be mentioned in the High Court again in a week's time to see what progress has been made.
