
Estate agent pays €10,000 penalty for using deposit funds given to him by client
Gabriel Dooley, of Dooleys Estate Agents in Greystones, had been given €50,000 by a company to purchase land, but the sale never concluded.
The liquidator of the company later secured a High Court order for Mr Dooley to refund the booking deposit, but he refused to do so.
Following this the liquidator made a complaint to the
Property Services Regulatory Authority
, the body responsible for licensing and regulating the property services sector.
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A full investigation was carried out, with the PRSA making one finding of improper conduct against Mr Dooley for breaching regulation six of the Property Services (Regulation) Act 2011 (Client Moneys) Regulations 2012.
This was due to Mr Dooley withdrawing money from the €50,000 booking deposit, which was held in his client bank account, before contracts for the sale of the land being signed or finalised.
The board of the PRSA imposed a sanction on Mr Dooley for this breach, amounting to a financial penalty of €10,000. The High Court confirmed the decision on Monday.
Mr Dooley paid this fine to the PRSA before the confirmation order.
Under the Property Services Regulation Act 2011, following a complaint the PRSA can appoint an investigator who seeks relevant documentation and evidence from an agent and drafts a report which then goes to the board of the PRSA for a final decision.
If improper conduct has been found, a number of sanctions can be imposed varying from a minor sanction, such as a caution, to a major one like the suspension of the agent's licence or a financial penalty of up to €250,000.
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