Complaints against Dunedin lawyer John Milne over borrowing clients' money have been referred to the Serious Fraud Office, Dunedin lawyer David More said yesterday.
Mr Milne also faces charges brought by the New Zealand Law Society, which will be lodged with the New Zealand Lawyers and Conveyancers Disciplinary Tribunal.
Sources said up to $2 million in clients' funds, loaned over many years, may be involved, while the Law Society's Otago branch is calling for any other lenders to get in contact.
Multiple complaints about Mr Milne were to be considered by the Otago branch of the Law Society yesterday after it had been revealed he had borrowed "significant sums" of clients' money when working for Craig Paddon Law. Mr Milne's practice was bought by the law firm and he had then worked in its Christchurch office.
Mr Milne no longer holds a practising certificate and recently ended his employment at Craig Paddon Law.
Mr More, convener of the standards committee of the Otago branch of the Law Society, said after yesterday's meeting, "All complaints related to Mr Milne's dealings with funds his clients had placed with him for investment."
He said one complaint by a client was that they had not received repayment of a loan.
The Otago branch decision was that it would form charges which it would lay before the higher lawyers and conveyancers disciplinary tribunal to consider.
He said the branch had also referred the complaints to the Serious Fraud Office.
The SFO yesterday confirmed it was investigating complaints against Mr Milne. It declined to comment further.
Mr More said the Otago branch was taking the "unusual step" of releasing a statement because the complaints were already in the public domain and it was not sure if all people who had placed money with Mr Milne for investment had been identified.
"If there's people the Law Society hasn't written to, we'd like them to get in touch with the Law Society."
