What are the potential penalties for money laundering offences?
Money laundering is considered a serious offence under the Proceeds of Crime Act 2002, with penalties reflecting this. The maximum sentence for primary money laundering offences, such as concealing or transferring funds derived from underlying criminal conduct, is 14 years’ imprisonment. Fines may also be imposed, and courts often issue confiscation orders to recover criminal property.
The severity of the sentence will depend on factors like the amount of money involved, how involved you were and whether the activity was part of an organised operation. Aggravating factors, such as the use of complex schemes to avoid detection or laundering funds from high-level underlying criminal conduct, can result in harsher penalties.
The court will also consider mitigating factors, such as cooperation with the National Crime Agency, evidence of limited involvement or a guilty plea, which may reduce the severity of the sentence.
What are the different types of money laundering offences?
The Proceeds of Crime Act 2002 outlines several primary money laundering offences, covering various illegal activities related to handling and disguising the origins of criminal property. These include:
- Concealing or disguising criminal property: this involves hiding, altering or disguising the origins of property obtained through underlying criminal conduct, such as transferring funds through complex transactions to avoid detection.
- Arranging or facilitating money laundering: helping others manage or move funds that may be considered criminal property could lead to charges of arranging or facilitating money laundering. This might include coordinating transactions, setting up businesses to handle funds or preparing documentation to process financial activities.
- Acquisition, use and possession of criminal property: this offence covers acquiring, using or holding property that may be linked to the proceeds of underlying criminal conduct. It applies even if you did not participate in the original offence but knowingly retained or used the illicit funds.
- Failure to report suspicious activity: regulations require those working in sectors such as banking, legal services or accounting are required to report any suspicions of money laundering. Failing to disclose such knowledge or suspicion to the relevant authorities can lead to prosecution.
- Tipping off: it is a criminal offence to disclose information that could prejudice an investigation into money laundering. For example, warning someone that they are under scrutiny by the National Crime Agency or another authority could result in charges under the Act.
Each of these offences carries significant penalties, including substantial fines and custodial sentences. When you contact the money laundering solicitors at Tyler Hoffman, we will help you understand your position, so you can understand what charges you may be facing. The earlier in the investigation that you can get in touch with us, the faster we can mount a strong defence.