SMALL law firms are hurting from big crimes committed by rogue lawyers.
Some say potential clients are now giving them a miss and banks are reluctant to deal with them.
Generally, a small firm is one with fewer than six lawyers.A medium-sized firm is a firm with six to 25 lawyers.
Any firm with more than 25 lawyers is considered a big firm.
A lawyer, who declined to be named, used to run a medium-sized firm before he gave up the business to pursue other interests.
He said following the bad publicity, banks and clients have lost faith in one-man firms in handling their money in conveyancing work.
He said it all started with rogue lawyer David Rasif.
The fugitive lawyer was the sole proprietor of David Rasif & Partners and made off in June last year with $11 million of his clients' money.
He is still at large.
To make matters worse, Rasif wasn't the only rogue lawyer to make the news.
The lawyer said: 'Anecdotal evidence suggests many small law firms and one-man firms are getting less conveyancing work.
'They are also not chosen to act for property clients.
'The reason is because they have to hold their clients' money and these clients are now more reluctant to let them do that.'
He explained that in conveyancing, the buyer of a property will pay a certain percentage of the sale price, usually 9 per cent, to the lawyer of the seller.
That lawyer will then bank that cheque into his client's account and will hold this money until the completion of the sale of the property, which is usually after three months.
TEMPTATION
This is where the problem arises when lawyers get tempted and spend the money.
The Law Society of Singapore has introduced measures to prevent such theft. (See report at bottom right).
But it is little comfort when your reputation has been hit, say some.
Mr Mark Goh, 40, has been running his one-man firm for 13 years. He handles criminal, litigation and civil cases.
He said: 'I have met clients of more than 10 years who will jokingly remind me about stories of lawyers who have taken their clients' money.
'They stop short at that.
'But an astute person will know that they are hinting to me, 'Don't do this to me', 'Can I trust you?'
'It hurts me because lawyers trade on their reputation.'
He said lawyers set up one-man firms because it allows them to be more independent and they can also choose the kind of cases they want to work on.
He said he has heard from banks that they will not go to one-man operations because they don't trust them any more.
Mr Goh said that, now when he wins a civil case, he will ask the losing party to pay his client directly.
But Mr Goh said he has never been tempted when handling money.
Said Mr Goh: 'It's my rice bowl. And I don't fancy living the life of a fugitive, where you are on the run all the time.
A sole proprietor, who declined to be named, said he has been running his firm for 10 years.
He said: 'Banks now don't appoint you on their panel to act for them.
'Previously, they used to appoint small firms but, possibly because of the bad publicity, they now go for the bigger firms.
'But this can affect any firm, even medium- and bigger-sized ones.
'It all boils down to your values system. Whether you value honesty, integrity and hard work.'
For Mr An Kanagavijayan, 50, who has run his own one-man firm for 10 years, things have not changed.
He said because he doesn't stick to one area of law, he has not been affected by the changes or the publicity.
He handles divorce, criminal, litigious and civil cases.
NOT AFFECTED
The father of two children, one in junior college and the other in secondary school, said: 'There has been no impact on me because my clients trust me very much.
'I work hard for my living. As long as a lawyer does that, he does not have to worry.
'Besides, I am a father. Where can I run to?'
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ROGUE LAWYERS
David Rasif
Disappeared with $11m of clients' money in June last year.
Still at large.
Zulkifli Amin
Took $6m of clients' money and disappeared in November.
Still at large.
David Khong Siak Meng
Disappeared in August with $68,000 of client's money.
Still at large.
Victor Tan
Disappeared with $32,000 of clients' money in September.
Still at large.
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LAW SOCIETY'S CHANGES
# No withdrawal of client funds from ATM machines
# Can't draw such monies in cash cheques or bearer cheques without leave from a High Court judge
# Cheque amounts exceeding $30,000 require two signatures
# Lawyer with fewer than three years' experience can't sign cheque to withdraw monies
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