POCA, Civil Proceedings & Asset Forfeiture

Proceeds Of Crime and Money Laundering

Our team of business crime experts dispenses high quality legal and strategic advice to individuals and businesses under investigation in relation to being in possession of proceeds of crime and of money laundering offences.

Our combined experience covers investigations conducted by the police, the Financial Conduct Authority, the Serious Fraud Office, the National Crime Agency, HMRC and other law enforcement bodies.

Given our long history of dealing with complex and multifaceted allegations of fraud and money laundering, we are uniquely positioned to provide advice and representation when these types of allegations feature in the context of other legal challenges, such as extradition requests or good character considerations.

We also regularly advise businesses on introducing bespoke strategies and policies to reduce their risks under the relevant legal and regulatory frameworks.

Civil Proceedings and Asset Forfeiture

Our team of highly skilled business and financial crime lawyers regularly advises clients who find themselves in the unfortunate position of being caught up in civil proceedings and asset forfeiture.

Having worked on both sides of the fence, our team fully understands the importance of engaging with the relevant agency (if appropriate) and challenging any order as appropriate. We regularly give expert legal and practical advice tailored to the individual client’s needs.

We advise individuals and businesses at every stage, including on how to avoid civil proceedings and how to challenge an asset forfeiture order if required.

There are a number of tools available to law enforcement agencies to seize or forfeit an individual or company’s assets:

• The Proceeds of Crime Act (“POCA”) provides the police and other law enforcement agencies the ability to freeze, restrain and seize assets when they suspect criminal activity.
• The Criminal Finance Act 2017, introduced more recently, provides for the power to both freeze and, if appropriate, forfeit bank accounts.
• Finally, there are unexplained wealth orders (UWO), which are obtained in secret and without notice.  These orders force the subject to respond to detailed questions in circumstances where a failure to respond will lead to a criminal presumption that the property is the proceeds of crime.

Critically, these powers enable the applicable agencies to freeze and secure assets without requiring a criminal conviction.

Further, we are also witnessing banks progressively adopting a more risk-averse approach.  They are increasingly unexpectedly freezing and closing individuals’ accounts.

If an enforcement agency suspects an individual or business of partaking in criminal activity, such as money laundering or bribery and corruption, or making money by illegal means, it can apply for an order to seize or forfeit assets.  Further, if a bank suspects similar, it can also apply for orders to freeze or close your bank account.

Account Freezing and Forfeiture Orders

Our team of highly skilled business and financial crime lawyers has vast experience of both leading investigations into financial crime and representing individuals subject to such investigations.

We offer our clients a bespoke and insightful strategy to give them the very best chance to head-off any investigation at the earliest stage possible.

Having worked on both sides of the fence, our team fully understands the importance of engaging with the relevant agency (if appropriate) and challenging any order as appropriate.  We regularly give expert legal and practical advice tailored to the commercial needs and context of each individual client.

We advise individuals and businesses at every stage, including on how to avoid an account freezing order, how to challenge one if one is made, and how to respond to an account forfeiture notice or order if required.

Finally, we are also able to advise individuals and businesses who find that their account(s) have been frozen or closed by their bank.

Unexplained Wealth Orders

We are proud to have been instructed to handle the first ever challenges to the new and developing area of law regarding Unexplained Wealth Orders (UWOs).

We are undisputedly at the forefront of this developing area of law, and our experience from the onset makes us the go-to firm for clients subject to these discriminatory notices.

Introduced in the Criminal Finances Act 2017, an unexplained wealth order (UWO) is a court order issued to compel an individual to reveal the sources of their unexplained wealth where that wealth may have been obtained by criminal activity.

UWOs can be issued against anyone believed to hold an interest in the property – perhaps a family member who had nothing to do with the original purchase. They are also retrospective in nature – they can be issued in respect of property that was obtained many years ago – decades even. And – to underline the point – they are mandatory. The choice is stark – comply or accept that there will be a presumption that the property is the proceeds of crime.

What our unique experience has taught us

We defended the first two UWOs which were obtained on 28 February 2018. This unique position has given us an unparalleled wealth of experience and knowledge about them.

It is clear from our experience that the authorities are adopting a broad interpretation of who can be designated a Politically Exposed Person (PEP). This is a matter of considerable concern, given the lack of any requirement for suspicion of involvement in criminal activity (still less proof) prior to obtaining a UWO against a person designated by the authorities as being a PEP.

The UWO represents one of the most disruptive and intrusive devices available to the authorities in the UK and the impact that receiving an order will have on a family is likely to be dramatic. A UWO poses a direct threat to an individual’s privacy, security, and reputation, which families of wealth will understandably be concerned to protect.

Gherson LLP continue to act against the National Crime Agency [NCA] in respect of the first ever target of an Unexplained Wealth Order. This case is hugely complex due to the interplay with other proceedings both in the UK and abroad, and the fact that it involves often unique and untested legal issues spanning multiple areas and jurisdictions.

Restraint and Confiscation Order

Our business crime, investigations and regulatory team regularly provides clients with expert advice on challenging restraint orders.

We assist when a restraint order has been imposed against clients personally, or when imposed in respect of assets co-owned with someone who is subject to the order.

When a conviction occurs, our lawyers are on hand to pull a team of wealth experts and researchers to successfully build and deploy a robust defence in relation to any confiscation proceedings.

Recent cases

POCA and Money Laundering

• Advised in relation to the first unexplained wealth order
• Gherson LLP is instructed in respect of a multi-million pound account freezing/forfeiture proceedings against an individual residing in the UK with their family
• Advised multiple clients who found their accounts made subject to account freezing orders as it is alleged that there is reasonable suspicion that the funds deposited are the proceeds of crime
• Advised in relation to account freezing orders and associated civil forfeiture proceedings
• Advised individuals in relation to cash forfeiture proceedings

Account Freezing and Forfeiture Orders

• Advised two individuals who found their accounts made subject to account freezing orders as it was alleged that there is reasonable suspicion that the funds deposited are the proceeds of crime.  This complex case spanned multiple jurisdictions and required a technical understanding of the law and a relatively novel area of law
• Advised two HNW individuals whose various accounts were made subject to account freezing orders due to allegations in a separate jurisdiction.