AN0M: $6K seized from lawyers’ account over Operation Ironside should be returned, SA judge tells prosecutors and police

Thousands of dollars taken from an SA law firm over Operation Ironside should be given back, a judge says – and never should have been taken at all.

Prosecutors have been told to return $6000 of the $20,000 confiscated from a law firm’s bank account, without its knowledge, over Operation Ironside – because it was never theirs to take.

The Supreme Court has also said that, if prosecutors believe the rest of the money is “tainted” because it came from an Ironside accused, they should seek a restraining order.

In documents released by the court on Tuesday, Judge Graham Dart says the highly unusual legal manoeuvre has left the alleged offender “unable to fund legal representation”.

He said the man – whose identity is suppressed – had fully paid one of his bills before the confiscation, and the firm should not be deprived of that amount.

“Of the money in the trust account, $6000 had been transferred to the firm’s account in satisfaction of an invoice (for work completed),” Judge Dart said.

“That money will need to be returned, as it was no longer (the alleged offender’s) money.”

Police make an arrest during Operation Ironside.

The Advertiser last month revealed prosecutors had obtained a bank order to seize $20,000 from the trust account of an Adelaide law firm representing an Ironside accused.

The 35-year-old is alleged to have been a user of the encrypted AN0M app and pressed 10,000 ecstasy tablets for two alleged co-offenders.

Previously, a court has heard he told the other men “I think I have a pill god looking out for me” when police attended his home but did not discover his operation.

So far, prosecutors have obtained court orders restraining two houses, tens of thousands of dollars in cash and a Mercedes Benz belonging to the man.

Despite those prior seizures, the firm was not warned of the trust account confiscation, nor was it shown a copy of the bank order prior to the money being withdrawn.

This Mercedes Benz is among more than $27m worth of cars, homes, watches and cash allegedly linked to Operation Ironside. Picture: SA Police.

Under state law, it is an offence for a firm’s trust account to be out of balance – lawyers can face disciplinary proceedings or be charged with criminal offences such as fraud.

Believing it had fallen victim to a cyber attack, the firm reported the matter to SA Police and was told the money had been confiscated.

The Law Society criticised the move, saying it raised legal questions and could mean taxpayers would have to foot legal aid bills for alleged Ironside offenders.

SA Police was unapologetic, saying the seizure was “routine” and in keeping with bids to restrain $27m worth of assets connected to Operation Ironside.

The case returned to court after The Advertiser’s article, however the hearing was not recorded nor any transcript taken.

In his formal orders, Judge Dart outlined the history of the matter so far.

“Recently, SA Police obtained a warrant from a magistrate, which allowed it to take money from the solicitor’s trust account without the knowledge of the solicitor,” he said.

Judge Dart said the $6000 should be returned before any further action was taken in regard to the rest of the money.

“An application will be made for a restraining order in respect of those funds,” he said.

Originally published as AN0M: $6K seized from lawyers’ account over Operation Ironside should be returned, SA judge tells prosecutors and police