POCA 2002 - Tipping off

Information about POCA 2002 - Tipping off

Published on December 10, 2009

Author: Brian395

Source: authorstream.com


Money Laundering& Suspicious Activity : Money Laundering& Suspicious Activity Learning outcomes from various SAR issues to include tipping off. Proceeds of Crime Act2002 : Proceeds of Crime Act2002 Areas discussed s330 – Failing to disclose s333 – Tipping off Time periods What is a ‘Fast Track’ disclosure? : What is a ‘Fast Track’ disclosure? There is no such thing as a ‘Fast Track’ disclosure. A disclosure where you want an urgent response to transact is a Consent SAR. Consent SARs are defined in POCA and the time constraints apply. Whilst every effort is made to deal as quickly as possible, some will inevitably take the full amount of time. Action following SAR Consent request : Action following SAR Consent request After requesting consent from SOCA Notice period is 7 working days starting with 1st working day after SAR made Moratorium period is 31 days starting the day on which consent refused A working day is a day other than: Saturday, a Sunday, Christmas Day, Good Friday or a day which is a bank holiday under the Banking and Financial Dealings Act 1971 (c. 80) in the part of the United Kingdom in which the nominated officer is when the appropriate consent is given. Case of K Ltd v Nat West, HMRC and SOCA : Case of K Ltd v Nat West, HMRC and SOCA “…the fact still remains that during the 7 working day or 31 day period, as the case may be, the Bank would be acting illegally by processing the cheque…” Case of K Ltd v Nat West, HMRC and SOCA : Case of K Ltd v Nat West, HMRC and SOCA “…the fact that the interference lasts only for 7 working days in the majority of cases,….shows that interference with freedom of trade is limited. Many people would think that a reasonable balance has been struck”. Dilemma between Tipping Off or Consenting to Prohibited Act : Dilemma between Tipping Off or Consenting to Prohibited Act Tipping off – knows or suspects that SAR made, makes disclosure which is likely to prejudice any investigation Nominated officer: consent – nominated officer gives consent to the doing of a prohibited act, knowing or suspecting that it is a prohibited act, without having made a SAR, or, having made a SAR, without having received consent. Defence to Tipping Off : Defence to Tipping Off Person does not commit the offence if; Did not know or suspect that the disclosure was likely to be prejudicial The disclosure is made: - in carrying out a function they have relating to the enforcement of any provision of this Act or of any other enactment relating to criminal conduct or benefit from criminal conduct (Is a: - professional legal adviser…..) Squirrel Ltd v NatWest Bank and HMCE : Squirrel Ltd v NatWest Bank and HMCE Before Mr Justice Laddie Fri. 22nd April 2005 There is no direct authority on the meaning of suspicion BUT…… Hussien v Chong Fook Kam [1970] : Hussien v Chong Fook Kam [1970] The privy council in this case considered the scope and effect of ‘Reasonable suspicion’ Lord Devlin stated: - “Suspicion in its ordinary meaning is a state of conjecture or surmise where proof is lacking ‘I suspect but I cannot prove’. Suspicion arises at or near the starting-point of an investigation of which the obtaining of prima facie proof is the end”. “There is another distinction between reasonable suspicion and prima facie proof. Prima facie proof consists of admissible evidence. Suspicion can take into account matters that could not be put into evidence at all”. Basic Advice : Basic Advice Communication With staff. Take control. Ensure all are acting and speaking in unity. Communication With SOCA. Ensure they are fully aware of the situation and seek advice. Communication With Law Enforcement. Ensure they are fully aware of the situation, the urgency etc, seek co-operation and assist with information. Relevant UK Lawhttp://www.opsi.gov.uk/ACTS/acts2002/ukpga_20020029_en_22 : Relevant UK Lawhttp://www.opsi.gov.uk/ACTS/acts2002/ukpga_20020029_en_22 Further Details : Further Details Fraud Reduction / Fraud Training  DI Andrew Fyfe Telephone: 020 7601 6849 email: - [email protected]

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