- New requirements for confiscating proceeds of crime confirmed immediately to make sure crime doesn’t pay.
- Landmark change requires nations to have non-conviction confiscation powers already in use within the UK.
- More legal proceeds to be recovered as implementation of upper minimal requirements allow improved cross border cooperation.
International motion on confiscating the proceeds of crime is to be toughened after a worldwide customary setter immediately, 27 October, unveiled new guidelines that signify a significant step ahead within the battle in opposition to financial crime.
The Financial Action Task Force (FATF) as the worldwide Anti-Money Laundering customary setter has introduced it’s adopting a brand new set of strengthened requirements for seizure and confiscation, as a two-year mission co-led by the UK reached its conclusion.
Law enforcement wants a set of instruments to disrupt and disincentivise criminals and strip them of their ill-gotten positive factors. Over 200 nations worldwide are signed as much as the brand new wide-ranging requirements, which for the primary time embody necessities for non-conviction based mostly confiscation – a helpful various or complement to legal proceedings and an already effectively used route within the UK to disrupt crime.
The UK’s home confiscation powers have been expanded in recent years, resulting in the document restoration of almost £340m in 2022 to 2023 – a 75% improve in comparison with £194m in 2017 to 2018. Of this, £160.1 million was recovered utilizing the UK’s non-conviction based mostly powers.
Treasury Lords Minister Baroness Penn mentioned:
“These new necessities for nations all over the world make a distinction right here at home too – serving to disrupt financial crime even when it crosses borders.
“Britain has been consistently driving higher standards in recovering proceeds of crime at the international table and the news today is both long overdue and hugely welcome.”
Security Minister Tom Tugendhat mentioned:
”Criminals shouldn’t be allowed to take pleasure in their ill-gotten positive factors. Stripping them of their earnings sends a transparent sign that we are going to not tolerate their actions.
“The new requirements set by the Financial Action Task Force are an vital step in the correct course and ship a robust message.
“We will continue working with the global community to proactively target criminals, take their dirty money and use it for the public good.”
Further data
- The full textual content of the adjustments is to be printed by the Financial Action Task Force within the coming months. The FATF was arrange by the G7 in 1989 to deal with soiled money from drug trafficking. Its mandate has since expanded to take a look at illicit monetary flows throughout completely different crime sorts.
- The Government’s second Economic Crime Plan dedicated to “Strengthen[ing] international asset recovery standards to improve cross-border asset recovery outcomes”. The up to date requirements ship on this dedication.
- Under the Proceeds of Crime Act 2002 (POCA) £339.1 million of belongings had been recovered from Confiscation, Forfeiture, and Civil Recovery Orders within the monetary yr 2022 to 2023. This represents one other excessive yr of asset restoration and is a 75% improve in comparison with £193.8 million in 2017 to 2018.
- Of this, £160.1 million was recovered utilizing the UK’s non-conviction based mostly powers – £97.2 million was recovered by means of Forfeiture Order receipts; and £62.9 million was recovered by means of Civil Recovery Order Receipts, the very best worth ever recorded, pushed by a £53.9m order obtained by the National Crime Agency (NCA).
