Account Forfeiture Orders | Appeal Proceedings Commenced
KANGS has been instructed by our client to oppose applications for Account Forfeiture Orders which are being pursued against both his personal and company bank accounts under the Proceeds of Crime Act 2002 (POCA).
It is alleged that the funds held within the accounts are connected to an international money laundering operation, involving many millions of pounds and have been made subject to Account Freezing Orders obtained by the Prosecution.
Our client strenuously denies involvement in criminal activity of any nature.
Tim Thompson of KANGS outlines the relevant law and the initial steps taken on behalf of our client to oppose the Forfeiture Orders.
The Relevant Law | The Proceeds of Crime Act 2002 (POCA)
An Account Freezing Order is an Order that, subject to any exclusions, prohibits the making of withdrawals or payments from the account.
An application for an Order may be made without Notice if the circumstances are such that it would prejudice the taking of any steps necessary to forfeit money that is recoverable property or intended by any person for use in unlawful conduct.
An Account Forfeiture Order enables the relevant prosecuting authority to permanently seize and retain money that has been made subject to an Account Freezing Order.
POCA provides as follows:
s.303Z1 Application for an Account Freezing Order
An enforcement officer may apply to the relevant court for an Account Freezing Order in relation to the relevant account in which the money is held where there are reasonable grounds for suspecting that the money:
- is recoverable property (as defined by POCA) or
- is intended by any person for use in unlawful conduct.
s.303Z14 Forfeiture Order
Where an Account Freezing Order has effect, an application for the forfeiture of money held in that frozen account may be made to a Magistrates’ Court.
The court may Order the forfeiture of those funds, or any part, if satisfied that it is:
- recoverable property or
- intended by any person for use in unlawful conduct.
Where money held in a frozen account is ordered to be forfeited:
- that money must be transferred into a nominated interest-bearing account and
- immediately after such transfer has been made, the Account Freezing Order made in relation to the frozen account ceases to have effect.
s.303Z12 Application to Set Aside Forfeiture
A person aggrieved by the forfeiture of money may apply to a Magistrates’ Court for an Order setting aside the forfeiture of the money or any part of it within thirty days but the court may extend the period where there are exceptional circumstances to explain why the Applicant failed to object and make the Application.
Where the court sets aside the forfeiture:
- it must order the release of that money, which
- is to be treated as never having been forfeited.
Procedural Considerations
At the Hearing of an Application to set aside an Account Forfeiture Order, matters for consideration by the Court will include whether there existed any:
- error in fact submitted to the Court,
- error in law,
- procedural impropriety,
- issues of ineffective service on the Appellant,
- disclosure failures by the Applicant,
- violations of Human Rights.
A successful appeal may not necessarily result in the return of the frozen funds but simply return the proceedings to the position prevailing prior to the Account Forfeiture Order being made, i.e. the account remains frozen. The situation would then have to be considered in the light of the discrete circumstances prevailing.
How We Are Assisting Our Client
By way of preparing our client’s Appeal, the team at KANGS are:
- examining all evidence served by the Prosecution,
- obtaining ongoing instructions from our client as the matter develops,
- continually advising our client,
- preparing a detailed Witness Statement and all required documents,
- collating and examining all pertinent evidence.
How Can We Assist You?
KANGS regularly assist clients, both companies and individuals, whose assets have become subject to all manner of Orders, including Restraint Orders, Account Freezing Orders and Forfeiture Orders under POCA by all authorities including the police and HMRC.
The team at KANGS is highly experienced and enjoys an enviable nationwide reputation for handling proceedings involving all aspects of POCA and would be delighted to assist you.
If we can be of any assistance, we would be delighted to hear from you.
Tel: 0333 370 4333
Email: info@kangssolicitors.co.uk
We provide initial no obligation discussion at our three offices in London, Birmingham, and Manchester. Alternatively, discussions can be held through live conferencing or telephone.
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