Solicitor admits misconduct after client lost £212,800 in sham funding deals tied to fraud
A solicitor with more than two decades in the profession has been suspended after a disciplinary tribunal found his reckless misconduct left a client more than £212,000 out of pocket.
The Solicitors Disciplinary Tribunal (SDT) ruled on 19 August 2024 that Simon Paget-Brown, admitted to the roll in March 2000, engaged in serious professional failings while working as principal of his own firm and later as sole director of Paget-Brown (UK) Limited.
The Solicitors Regulation Authority (SRA) brought proceedings alleging that Paget-Brown facilitated or participated in transactions bearing the hallmarks of advance fee fraud. Between March 2018 and October 2019, he acted for Wraith Capital Group Limited and Wraith Capital Limited, companies marketed as specialist funders but later exposed through multiple client complaints.
Tribunal papers show that Company C paid £212,800 in fees for promised funding, only for the money to disappear. Paget-Brown admitted that his conduct had directly caused this devastating loss.
The tribunal heard that his role went beyond legal adviser. He was also a company director, creating a conflict of interest. In addition, he allowed client accounts to be used as banking facilities, failed to maintain proper accounting records, and neglected to deliver required accountant reports for three consecutive years.
The SDT found his culpability “high”, noting that as compliance officer and finance head at his firm, he had direct responsibility to prevent breaches. His actions were aggravated by recklessness: despite knowing that an associate, Winston Donaldson, had a fraud conviction and was banned from directorship, Paget-Brown continued working alongside him. Donaldson had been jailed in 2014 for similar advance fee frauds.
Embed from Getty ImagesThe tribunal reviewed multiple complaints:
- Company A was persuaded to pay more than £178,000 in fees, lured by false assurances that loans would be forthcoming. No refunds were made despite repeated promises.
- Client B lost £91,000 after paying fees for a bridging loan that never materialised. Only a fraction was ever returned.
- Company C, represented by its solicitors, was misled with false statements about £10 million being ready for transfer. The promised funding never appeared, and the advance fees were never repaid.
Paget-Brown argued he had been deceived by Donaldson. But the tribunal dismissed this as insufficient mitigation, stressing that he knowingly worked with a convicted fraudster. His partial admission came only one day before the full hearing.
In its judgment, the tribunal concluded:
“The misconduct was serious and repeated. It undermined public trust and caused substantial financial harm. Suspension is necessary to protect both the public and the reputation of the profession.”
Paget-Brown was suspended for 12 months from 11 July 2024. Following his suspension, strict conditions will apply if he seeks to return. He is barred from practising as a sole practitioner, holding client money, being a compliance officer, or giving professional undertakings without SRA approval.
He was also ordered to pay £15,000 in costs.
The SDT stopped short of striking him off permanently, deciding that a fixed-term suspension combined with restrictions was a proportionate response. But the tribunal made clear that his reckless conduct had severely damaged confidence in the legal profession.