The Proceeds of Crime Act 2002 (Poca).
Money laundering is governed by a variety of rules and regulations, the most common found under the terms of Proceeds of Crime Act 2002 (section 327, 328 and 329). In its simplest terms, if property originates from criminal activity and:
it is concealed/disguised/converted/transferred (section 327 Proceeds of Crime Act 2002) or
a person enters into an arrangement involving criminal property (section 328 Proceeds of Crime Act 2002) or
a person acquires/uses/possesses criminal property (section 327 Proceeds of Crime Act 2002)
then an offence of money laundering has been committed.
The Proceeds of Crime Act 2002 (POCA) has had a much greater impact than first anticipated. The legislation was passed in 2002 and became law in 2003. Its initial purpose was to stop serious criminals, Organised Crime Groups (OCG’s) and terrorist funding. However, over time, its objectives have been diluted, and its scope widened resulting in professionals and everyday people falling foul of the act. A clear cross-section of the community (who are not "criminals") have been investigated and prosecuted under POCA legislation under a variety of circumstances - see our case studies for examples.
For current examples, please follow us on Twitter @fraud_lawyer.
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