The Law Society has acknowledged that it received as many as 231 complaints in a 12-month period about solicitors failing to comply with undertakings, but referred only nine of them to the solicitors' disciplinary tribunal.

"The reason why complaints don't go to the disciplinary procedure is because the undertaking is usually complied with to the complainant's satisfaction shortly after the complaint is made and after intervention by the society," said Ken Murphy, the society's director general.

"The suggestion that the society doesn't take these things seriously is inaccurate. Also inaccurate would be any suggestion that receipt of a complaint of failure to comply with an undertaking is evidence in itself of the existence of a problem, such as have emerged in the cases before the courts."

He said it got 231 complaints in the year to August and 219 complaints in the previous 12 months, with 12 cases sent to the disciplinary tribunal in that period.

"If what has been reported in the media proves to be true, then it seems that individuals were borrowing from financial institutions for their own benefit and not for the benefit of clients.

"The financial institutions must have known that they were lending to solicitors in their personal capacities and not on behalf of clients," he said.