The Financial Services Ombudsman has called for a full investigation by the Law Society of Ireland into cases where solicitors endorse cheques without their clients' permission.
Joe Meade will write to the Law Society regarding cases which have been brought to his attention where solicitors wrote the names of clients on the back of cheques and deposited them in the law firms' bank accounts.
Speaking on RTÉ News, Mr Meade recounted a case where a former Irish soldier, who now lives in England, received an Army deafness compensation to the value of €20,000.
The soldier's solicitor signed the back of the soldier's cheque with the soldier's name and lodged the order, which was made payable to the soldier, into the law firm's bank account. The solicitor then deducted €2,500 of fees, although they had already been paid by the department. The balance was then forwarded to the soldier. The soldier said he never gave the solicitor or the firm permission to endorse the cheque.
Two former soldiers have claimed that they have had the same experience. Their claims are currently being examined by the ombudsman. Mr Meade called on the Law Society to ensure that solicitors employ the highest ethical standards when dealing with clients' money.