ABSTRACT
The foundation of compliance procedures under the Solicitors’ Accounts Rules 1998 (the Rules) is the accountant’s report. Every solicitor, registered European lawyer, registered foreign lawyer and recognised body that has held or received client money or controlled trust money or operated a client’s own account as signatory during an accounting period must deliver an accountant’s report for that accounting period. This duty extends to the directors of a recognised body which is a company and the members of a recognised body which is a limited liability partnership. The report must be delivered to the Law Society no later than six months after the end of the accounting period (r 35). A solicitor may arrange for the accountant who prepares his report it to send it direct but it remains the responsibility of the solicitor to make sure it is received by the Law Society. An accountant’s report must be delivered once in every 12-month period ending on 31 October unless the Law Society is satisfied that this is unnecessary (Solicitors Act 1974, s 34(1)). The Law Society may impose a condition on the issue of a solicitor’s practising certificate to the effect that he must deliver accountants’ reports at more frequent intervals (Solicitors Act 1974, s 12(4)(b)).
