Question
Mary Burns is employed as a secretary for Konrad & Johnson, a medium sized law firm. The firm has a large commercial and property law
Mary Burns is employed as a secretary for Konrad & Johnson, a medium sized law firm. The firm has a large commercial and property law practice, and regularly receives large sums of money from clients on trust for commercial transactions. Early this year the managing partner of the form, Heinrich Konrad, became suspicious of some irregularities in trust fund transactions in the Konrad & Johnson Trust Account held with Big Brother Bank. A firm of accountants were engaged to undertake an audit of the accounts. The auditors were under strict instructions to keep the audit a secret. The audit report identified 300 instances between 2018 and 2022 of the transfer of funds from the trust account to an account held at the Common Bank. The total sum of these transactions was $180,500. The report included a PDF copy of a letter ostensibly signed by Konrad, providing an enduring authorisation for the transactions. An electronic signature had been affixed to the document by Burns, but there is no indication that Konrad signed or was aware of the document at any stage. Indeed, the usual practice of the firm is that any movement of monies from the trust account is done on an individual basis and is countersigned by the client. Based on this information, what offence has Burns committed? Drawing on the relevant law in NSW, Australia, give reasons for your answer.
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