| UK International Cooperation with Foreign Enforcement Agencies in Financial Crime Maria Cronin1; 1PETERS & PETERS, London, United Kingdom; PAPER: 354/Laws/Regular (Oral) SCHEDULED: 12:10/Fri. 25 Oct. 2019/Hermes (64/Mezz. F) ABSTRACT: Maria Cronin, Partner at Peters & Peters Solicitors LLP, will consider UK international cooperation with foreign enforcement agencies in financial crime. In the last 18 months, the UK has introduced a number of measures aimed at strengthening and streamlining cooperation between international financial crime enforcement agencies. In January 2018, UK law enforcement was given ground-breaking new powers to freeze and recover alleged proceeds of crime with the introduction of Unexplained Wealth Orders (UWOs) and Account Freezing Orders (AFOs). There have now been two UWOs in the UK and a far greater number of AFOs. UWOs essentially create a reverse burden on Politically Exposed Persons (and / or their associates) to demonstrate the legitimacy of income used to acquire property in the UK. AFOs, like UWOs, are a powerful tool allowing law enforcement to freeze funds held in any UK bank or building society in circumstances where there are ‘reasonable grounds’ for suspecting that the money was obtained as result of, or intended for use in, unlawful conduct. It is possible for law enforcement to forfeit frozen funds administratively, without any recourse to the courts. In November 2018, the UK extended these draconian powers to foreign enforcement bodies which can now request UWOs and AFOs through Mutual Legal Assistance. We have yet to see whether this will result in their increase; certainly the extension of these new powers to foreign states is likely to have a significant impact on international cooperation in financial crime. |
