Two ways to prove that property derives from a crime. In Mohammad Ahmad v Her Majesty’s Advocate [2009] HCJAC 60 The Scottish Court of Appeal has ruled that property will be considered criminal property under the Proceeds Of Crime Act (POCA), if the evidence of how it is handled ‘gives rise to the irresistible inference’ […]

In Crestsign Ltd v National Westminster Bank Plc and The Royal Bank of Scotland Plc [2014] EWHC 3043 (Ch), the High Court held that the banks were not liable for mis-selling of an interest rate swap primarily because the documentation contained clear wording stating that it was a non-advised sale. In 2008, Crestsign Ltd, a […]

Who is the rightful owner of a bribe? Is a bribe or secret commission received by an agent “held on trust” for his principal? Or is the principal’s claim against the agent a personal one for equitable compensation equal to the value of the bribe or commission? The issue is of critical importance. It affects […]

In Lloyds Trust Co (CI) Limited v Fragoso(1) the Royal Court recently clarified the basis on which professional trustees hold trust assets that ultimately derive from the proceeds of bribes received by a settlor. Facts The trust in question was established in 1999. The settlor, Carlos Fragoso, told the trustee, Lloyds, that the moneys settled […]

The Court of appeal has confirmed that ‘helping out’ a family member (or anyone else) who is engaged in criminal breaches of financial services legislation can lead to prosecution. Kathleen Margaret O’Neil v Faye Gale [2013] EWCA Civ 1554 (6 December 2013) confirms both that FSMA breaches can give rise to criminal prosecutions for accessories […]

An Edinburgh solicitor has been jailed for four years for his role in the laundering of £1.8m. Richard Housley was also convicted of income tax fraud and a separate charge under POCA. Housley, the senior partner and MLRO, helped launder the money for Michael Voudouri, who pleaded guilty, but failed to turn up for the sentencing […]

The European Commission released its proposals for a 4th Anti-Money Laundering Directive on 5 February 2013. fourth money laundering directive (4th Directive) The proposals are a response to changes made to the requirements issued by the Financial Action Taskforce (FATF) in February 2012 and a review conducted by the Commission on the implementation of the […]

UK lawyers implicated in money laundering, including any type of complaint, arrest or prosecution include the following The case of Benjamin Cornelius[2011]– solicitor has been sentenced to four years and eight months in jail for fraud, money laundering and perverting the course of justice in March this year after fraudulently securing mortgage advances amounting to […]