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The fact that an enquiry went on for three years is particularly shocking. This should have been resolved with a telephone call to Chancery Lane.
"Hello, LSB here. Look you know you are not allowed to appoint people to run the SRA the way you are. That is against the law. You must stop."

"Gosh, sorry.... Oh yes, I am just looking at the rules now. You are quite right. Of course we will change the rules right away."

End of story. No need for a rebuke. But clearly that is not how the LS reacted.

This seems very much like when we had to sue the Law Society for rigging the training market. The Society seems to have persisted in indefensible practices for years for no good reason.