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Singapore Law Society Proposes Stricter Rules To Protect Clients' Moneys 
Posted on Wednesday, August 16, 2006 - 10:00 AM

A committee appointed by the Law Society has suggested stricter rules covering the withdrawal of clients' money by lawyers.

This follows the recent incident involving lawyer David Rasif who fled with more than SGD10 million dollars of his clients' money.

The interim report of the committee recommends:

(a) All withdrawals exceeding SGD50,000 must have a second signatory.

(b) Only practising lawyers with at least three years' practice be allowed as signatories.

(c) No cash or bearers' cheques from the client account (except with the Court's permission) and no withdrawals of client account money from automated teller machines.

(d) All cheques to law practices to be issued in the name of the law firm, followed by either the office account or client account.

(e) No employee (full or part-time) of a law practice can be an approved book-keeper.

(f) The approved book-keeper must undergo a book-keeping course by the Society.

(g) Restrict conveyancing moneys from being deposited into clients' account.

The Law Society is also looking into fidelity insurance to protect clients and third parties in the event of dishonesty or fraud by lawyers.