Proceeds of Crime Flashcards
What does proceeds of crime mean?
The term ‘proceeds of crime’ refers to money or other assets gained by criminals in the course of their criminal activity.
POCA and it purpose
Proceeds of crime act 2002.
The main purpose of the Act is to provide legislative powers to seize, freeze, restrain, forfeit and confiscate assets obtained from criminal conduct.
What are the three main money laundering offences under POCA?
A person commits an offence when:
- They acquire criminal property, use criminal property or have possession of criminal property.
- They conceal, disguise, convert, remove or transfer criminal property.
- Or they enter into an agreement which allows them to facilitate the acquisition, retention or control of criminal property by or on behalf of another person.
What does the term ‘criminal property’ refer to?
In effect, ‘criminal property’ can refer to virtually anything of value obtained through crime.
Section 329 POCA – Acquisition, use and possession
(1) A person commits an offence if he – acquires criminal property; uses criminal property; has possession of criminal property.
Section 327 POCA – Concealing
(1) A person commits an offence if he – conceals criminal property; disguises criminal property; converts criminal property; transfers criminal property; removes criminal property from England and Wales or from Scotland or from Northern Ireland.
Section 328 POCA – Arrangements
(1) A person commits an offence if he enters into or becomes concerned in an arrangement which he knows or suspects, facilitates (by whatever means) the acquisition, retention, use or control of criminal property by or on behalf of another person.
What is ‘cash’ according to section 289(6) of POCA?
Any notes and coins from any country.
Banker’s drafts.
Postal orders.
Cheques of any kind, including traveller’s cheques.
Bearer bonds and bearer shares
Section 294 POCA
A constable may seize any cash if he has reasonable grounds for suspecting that it is:
(a) recoverable property, or
(b) intended by any person for use in unlawful conduct.
Be aware that ‘recoverable property’ refers to property obtained through unlawful conduct.
What are the guidelines for seizing cash under POCA?
As a police officer you have the power under POCA to seize any amount of cash that appears to be over £1000, if the person concerned is unable to account for their possession of it and you suspect it to be criminal property.
Consideration can also be given to arresting the suspect on suspicion of money laundering (Sec. 329 POCA – Possession of the criminal property). However, advice should be sought whether to seize the cash under Sec.19 PACE 1984 (as evidence) or under Sec. 294 POCA (Cash seizure). If you choose to seize cash under Sec. 294 POCA and to arrest for money laundering, the Economic Crime Unit will deal with the cash seizure and the BCU will deal with the criminal matter.
Which court are cash seizures and account freezing orders dealt at?
It doesn’t matter what the currency is; cash from any country can be criminal property. Remember that the cash seizure and any account freezing order will be dealt with at magistrates’ court by specially trained Financial Investigators (FI) as a result of information you supply to them.
The cash seizure process
Lawfully search the suspect, vehicle or premises.
If you find cash that you suspect is over £1000 and you suspect it to be criminal property you must try to obtain an explanation about the origin of the money. If the suspect declines to answer that will heighten your suspicion.
You must then decide whether there is a reasonable cause to maintain your belief that the money was obtained through criminal activity or intended for such use by them.
If you have reasonable cause for your belief, you can seize the cash. Don’t count it, wear gloves and double bag it in an exhibits bag. Use your BWV.
Once you have bagged the cash and booked it in at your BCU then contact the on-call Economic Crime Unit officer as soon as possible as the application to further detain the cash must be made at the magistrates’ court within 48 hours (not including weekends and bank holidays).
The Financial Investigator from the Economic Crime Unit will contact you for further information prior to the POCA court hearing. Act upon their advice.
Sentencing for money laundering
Money launderingMoney laundering offences may be tried at a magistrates’ court or a Crown Court.
Offences can attract up to 6 months’ imprisonment or 14 years’ imprisonment on conviction at the Crown Court.
