Former Mishcon de Reya property partner Kevin Steele has been charged by the Serious Fraud Office (SFO) with conspiring to fraudulently obtain a e22m (£18.4m) loan.

Steele and his former client, property developer Michael Shephard, were charged and released on conditional bail last week. They are due to appear before Southwark Crown Court later this summer (12 August) to face charges of conspiring to commit fraud and conspiracy to use false documents.

The pair are alleged to have persuaded Zurich-based EFG Bank in 2008 to provide a e22m loan on the basis that Shephard had on deposit the sum of £76m at Bank Julius Baer in Guernsey, which was accepted as security for the loan.

In addition, Steele has been charged with abuse of position between October 2007 and September 2008 in relation to the procuring of an undertaking given to EFG in respect of the loan, the general mishandling of Shephard's client account and the theft of £1.8m from that account to settle an unrelated civil claim.

Steele was removed from Mishcons in September 2008 when the firm referred the matter to the police and the Solicitors Regulation Authority (SRA).

A Mishcons spokesperson commented: "Kevin Steele was expelled from Mishcon de Reya in September 2008, nearly two years ago. The firm carried out a thorough internal investigation and brought in the police and the SRA. It has ensured that the interests of its clients have been fully protected. As the matter is in court, no further statements will be made."