Former lawyer sentenced in SFO Case for fraudulently claiming nearly $375,000 from legal support scheme
A former Bay of Plenty lawyer has been sentenced after pleading guilty in a Serious Fraud Office (SFO) case to fraudulently claiming almost $375,000 from the legal aid scheme funded by the Ministry of Justice.
Appearing in Tauranga District Court today, Paulette Main’s application for discharge without conviction was rejected and she was sentenced to three years imprisonment.
Ms Main pleaded guilty in April to one representative charge of obtaining by deception and one representative charge of obstructing the SFO’s investigation.
Ms Main submitted more than 1,200 false claims in relation to 26 clients to the Ministry of Justice’s Family Legal Advice Service (FLAS) between December 2017 and July 2022.
The FLAS scheme funds eligible lawyers to give out-of-court advice in Care of Children Act disputes and is intended to assist parties to resolve their disputes without court intervention. Lawyers can claim a fixed fee from the Ministry of Justice for providing services under the scheme. The scheme uses a high-trust funding model, which relies on lawyers claiming only the amounts they are entitled to.
The offending was discovered after the Ministry of Justice identified several anomalies regarding Ms Main’s FLAS claims which led to an audit of her client files.
SFO Director Karen Chang says, “Ms Main’s sentencing reflects the gravity of her offending, which involved a serious breach of the trust placed in a legal professional. Over a sustained period, she deliberately diverted public funds intended to support families during some of their most difficult times.”
Most of the false claims submitted by Ms Main were from former clients, giving her easy access to their details. In some cases, she used her involvement in Family Court proceedings to obtain information on other parties and used this information in her fraudulent claims. In one instance, she used a deceased person’s details to claim approximately $17,000.
Ms Chang says, “This case highlights why fraud committed by trusted professionals is a strategic area of focus for the SFO. It reinforces our commitment to holding individuals accountable when they betray that trust for personal gain.”
During its investigation, the SFO used its legal powers to require Ms Main to provide information to the SFO which was relevant to the investigation. Ms Main obstructed the SFO’s investigation by failing to respond to the SFO on two occasions.
More information
- Former lawyer pleads guilty to fraudulently claiming almost $375,000 from Government-funded legal support scheme(external link) (Media release, 1 April 2024)
- SFO alleges former lawyer fraudulently claimed almost $450,000 from Government-funded legal support(external link) (Media release, 10 July 2023)
About the SFO
The SFO is responsible for investigating and prosecuting serious or complex fraud, including bribery, and corruption in New Zealand. With a focus on maintaining integrity and trust in the financial system, the SFO has developed strategic areas of focus to ensure it has the greatest impact with the cases it takes in. SFO Strategic Areas of Focus(external link)