Jump to content
House Price Crash Forum
Sign in to follow this  
Guest

Unexplained Wealth Orders

Recommended Posts

Guest

Hope these new powers are used to investigate criminals who invest in UK homes. The Panama papers come to mind. 

Unexplained Wealth Orders are coming to UK

Quote

The Criminal Finances Act (CFA) was enacted in the UK in 2017. On January 31, 2018, the parts of the CFA dealing with Unexplained Wealth Orders (or UWOs) came into force. Transparency International  has taken credit for the introduction of UWOs and has stated that this was in large part as a result of agency’s relentless lobbying.

This development in UK law is an important new tool and is to be applauded. If it operates as it has been drawn up, then the new law could form a meaningful bar to those criminals bringing their Fructus Corruptio (fruits of corruption) to the shores of the UK.

Quote

The notion was similar to the ambition of UWOs. An allegedly corrupt or dishonest official or person would be put to task in order to explain the origin of their wealth. If you are a drug dealer, then this can prove problematic. This switch in onus and burden of proof onto the suspect, to prove that their wealth was lawfully derived, was anticipated to be the panacea to tackling organized crime. It was designed to strip them of their assets via a civil rather than a criminal process. Unfortunately, this has been used sporadically and ineffectively. I do not anticipate there being much change come April with the enactment of the CFA.

The introduction of UWOs should be celebrated. However, a tinge of realism is required concerning their practical utility in the face of public austerity in law enforcement. Unless the UK is able to take a new box of investigators from the shelf and sprinkle them liberally where needed, then the new Act may struggle to get off the ground due to lack of investigative resources.  

 

Circular 003/2018: unexplained wealth orders

Quote

The new powers of “unexplained wealth orders” (UWO) and the supporting “interim freezing orders” commence on 31 January 2018 (except they will not come into force in Northern Ireland at that time). A UWO is an investigation order issued by the High Court (Court of Session in Scotland) on satisfaction of a number of tests.

A UWO requires a person who is reasonably suspected of involvement in, or of being connected to a person involved in, serious crime to explain the nature and extent of their interest in particular property, and to explain how the property was obtained, where there are reasonable grounds to suspect that the respondent’s known lawfully obtained income would be insufficient to allow the respondent to obtain the property. The test for involvement with serious crime is by reference to Part 1 of the Serious Crime Act 2007.

A UWO can also be applied to politicians or officials from outside the European Economic Area (EEA), or those associated with them i.e. Politically Exposed Persons (PEPs). A UWO made in relation to a non-EEA PEP would not require suspicion of serious criminality.

A UWO is a civil power and an investigation tool. It requires the respondent to provide information on certain matters (their lawful ownership of a property, and the means by which it was obtained). It is important to note that, as an investigation power, a UWO is not (by itself) a power to recover assets. It is an addition to a number of powers already available in POCA to investigate and recover the proceeds of crime and should therefore not be viewed in isolation.

The ability to apply for a UWO is limited to those agencies defined as an “enforcement authority”, namely, in England and Wales;

the National Crime Agency,

Her Majesty’s Revenue and Customs,

the Financial Conduct Authority,

the Serious Fraud Office, or

the Crown Prosecution Service)

Quote

Law enforcement agencies and prosecution agencies who do not have direct access to the powers can consider referring a suitable case to an enforcement authority. Prior to making a referral, the referrer should have reasonable grounds for suspicion that an individual, who is either a PEP or involved in serious crime, has insufficient legitimate income for the purposes of enabling the individual to obtain specific identified property (of a value over £50,000), which can be shown to be in their possession. The enforcement authority can then determine whether or not an application should be made.

 

Share this post


Link to post
Share on other sites
1 minute ago, highYield said:

Hope these new powers are used to investigate criminals who invest in UK homes. The Panama papers come to mind. 

Unexplained Wealth Orders are coming to UK

 

Circular 003/2018: unexplained wealth orders

 

Just heard this on the news - something about shutting the stable door comes to mind...

I can't  help wondering whether it's a coincidence that it comes at the same time as McMafia on TV - the reality of global dirty money. 

Anyone else watching it?  Has anyone else read the non fiction book it was based on?  

Share this post


Link to post
Share on other sites
Guest
24 minutes ago, Mrs Bear said:

Just heard this on the news - something about shutting the stable door comes to mind...

I can't  help wondering whether it's a coincidence that it comes at the same time as McMafia on TV - the reality of global dirty money. 

Anyone else watching it?  Has anyone else read the non fiction book it was based on?  

I heard it on the news too. Saw a lot of mentions in the press of McMafia in relation to UWOs, when searching for a pastable article.

They're late as usual, but property is illiquid. Hopefully will lessen the appeal of UK homes as an investment.

Edit: Haven't seen McMafia, but plan to now.

Edited by Guest

Share this post


Link to post
Share on other sites
3 hours ago, Mrs Bear said:

Just heard this on the news - something about shutting the stable door comes to mind...

I can't  help wondering whether it's a coincidence that it comes at the same time as McMafia on TV - the reality of global dirty money. 

Anyone else watching it?  Has anyone else read the non fiction book it was based on?  

Nope.

Wealth has not left UK.

Opposite in fact - its poured in and been converted to real estate.

UK needs to tax all no tax resident property owners 5% of the properties valuation. Year in, year out.

They dont vote ffs. Frankly a lit of these people dont like their countrymen vote. Tax them till they bleed out of their eyes.

Then go after their advisors - Blair first.

Share this post


Link to post
Share on other sites
8 minutes ago, spyguy said:

Nope.

Wealth has not left UK.

Opposite in fact - its poured in and been converted to real estate.

UK needs to tax all no tax resident property owners 5% of the properties valuation. Year in, year out.

They dont vote ffs. Frankly a lit of these people dont like their countrymen vote. Tax them till they bleed out of their eyes.

Then go after their advisors - Blair first.

This has my vote, when can you get it implemented.

Share this post


Link to post
Share on other sites
2 hours ago, stop_the_craziness said:

Good luck with staying alive to the people in charge of investigating/enforcing this.  There'll be more "accidental car crashes" than there were of ex-NASA workers :lol:

:ph34r: we should talk.

Share this post


Link to post
Share on other sites
On 03/02/2018 at 7:50 AM, Mrs Bear said:

Just heard this on the news - something about shutting the stable door comes to mind...

I can't  help wondering whether it's a coincidence that it comes at the same time as McMafia on TV - the reality of global dirty money. 

Anyone else watching it?  Has anyone else read the non fiction book it was based on?  

That is exactly the saying that came to my mind, they are 20 years late, tho of course better they're doing something now than nothing.

I very  much doubt it has anything to do with that TV programme, people have known all along how bad the money sloshing around the world is (and we make a fortune in this country from helping to clean it up). I think what's changed is that we don't have our hands down the Russians' trousers in quite the way we did until fairly recently.

Share this post


Link to post
Share on other sites

I'm in two minds. On the one hand it's obvious why TPTB want legislation like this and why it could be a trememndous cleanup tool. 

On the other, why should the responsibility be with an individual to justify themselves, and would this be the thin end of the wedge towards just grabbing your stuff if they felt like it. You hear horrendous stories from the US where police seize property because they can, and there's nothing you can do. 

Share this post


Link to post
Share on other sites
14 minutes ago, North London Rent Girl said:

I think what's changed is that we don't have our hands down the Russians' trousers in quite the way we did until fairly recently.

Who is we?

https://www.theguardian.com/politics/2008/oct/21/mandelson-georgeosborne

https://www.mirror.co.uk/news/politics/who-evgeny-lebedev-man-who-10049454.amp

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 407 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.