PART 2 continued CHAPTER 6 continued
(1) In the Proceeds of Crime Act 2002 (c. 29), Part 7 (money laundering) is amended as follows.
(2) In section 327 (concealing etc.), after subsection (2) insert—
“(2A) Nor does a person commit an offence under subsection (1) if—
(a) he knows, or believes on reasonable grounds, that the relevant criminal conduct occurred in a particular country or territory outside the United Kingdom, and
(b) the relevant criminal conduct—
(i) was not, at the time it occurred, unlawful under the criminal law then applying in that country or territory, and
(ii) is not of a description prescribed by an order made by the Secretary of State.
(2B) In subsection (2A) “the relevant criminal conduct” is the criminal conduct by reference to which the property concerned is criminal property.”
(3) In section 328 (arrangements), after subsection (2) insert—
“(3) Nor does a person commit an offence under subsection (1) if—
(a) he knows, or believes on reasonable grounds, that the relevant criminal conduct occurred in a particular country or territory outside the United Kingdom, and
(b) the relevant criminal conduct—
(i) was not, at the time it occurred, unlawful under the criminal law then applying in that country or territory, and
(ii) is not of a description prescribed by an order made by the Secretary of State.
(4) In subsection (3) “the relevant criminal conduct” is the criminal conduct by reference to which the property concerned is criminal property.”
(4) In section 329 (acquisition, use and possession), after subsection (2) insert—
“(2A) Nor does a person commit an offence under subsection (1) if—
(a) he knows, or believes on reasonable grounds, that the relevant criminal conduct occurred in a particular country or territory outside the United Kingdom, and
(b) the relevant criminal conduct—
(i) was not, at the time it occurred, unlawful under the criminal law then applying in that country or territory, and
(ii) is not of a description prescribed by an order made by the Secretary of State.
(2B) In subsection (2A) “the relevant criminal conduct” is the criminal conduct by reference to which the property concerned is criminal property.”
(5) In section 330 (failure to disclose: regulated sector), after subsection (7) insert—
“(7A) Nor does a person commit an offence under this section if—
(a) he knows, or believes on reasonable grounds, that the money laundering is occurring in a particular country or territory outside the United Kingdom, and
(b) the money laundering—
(i) is not unlawful under the criminal law applying in that country or territory, and
(ii) is not of a description prescribed in an order made by the Secretary of State.”
(6) In section 331 (failure to disclose: nominated officers in the regulated sector), after subsection (6) insert—
“(6A) Nor does a person commit an offence under this section if—
(a) he knows, or believes on reasonable grounds, that the money laundering is occurring in a particular country or territory outside the United Kingdom, and
(b) the money laundering—
(i) is not unlawful under the criminal law applying in that country or territory, and
(ii) is not of a description prescribed in an order made by the Secretary of State.”
(7) In section 332 (failure to disclose: other nominated officers), after subsection (6) insert—
“(7) Nor does a person commit an offence under this section if—
(a) he knows, or believes on reasonable grounds, that the money laundering is occurring in a particular country or territory outside the United Kingdom, and
(b) the money laundering—
(i) is not unlawful under the criminal law applying in that country or territory, and
(ii) is not of a description prescribed in an order made by the Secretary of State.”
(1) The Proceeds of Crime Act 2002 (c. 29) is amended as follows.
(2) In section 327 (concealing etc.), after subsection (2B) (which is inserted by section 102 of this Act) insert—
“(2C) A deposit-taking body that does an act mentioned in paragraph (c) or (d) of subsection (1) does not commit an offence under that subsection if—
(a) it does the act in operating an account maintained with it, and
(b) the value of the criminal property concerned is less than the threshold amount determined under section 339A for the act.”
(3) In section 328 (arrangements), after subsection (4) (which is inserted by section 102 of this Act) insert—
“(5) A deposit-taking body that does an act mentioned in subsection (1) does not commit an offence under that subsection if—
(a) it does the act in operating an account maintained with it, and
(b) the arrangement facilitates the acquisition, retention, use or control of criminal property of a value that is less than the threshold amount determined under section 339A for the act.”
(4) In section 329 (acquisition, use and possession), after subsection (2B) (which is inserted by section 102 of this Act) insert—
“(2C) A deposit-taking body that does an act mentioned in subsection (1) does not commit an offence under that subsection if—
(a) it does the act in operating an account maintained with it, and
(b) the value of the criminal property concerned is less than the threshold amount determined under section 339A for the act.”
(5) In Part 7 (money laundering), after section 339 insert—
(1) This section applies for the purposes of sections 327(2C), 328(5) and 329(2C).
(2) The threshold amount for acts done by a deposit-taking body in operating an account is £250 unless a higher amount is specified under the following provisions of this section (in which event it is that higher amount).
(3) An officer of Revenue and Customs, or a constable, may specify the threshold amount for acts done by a deposit-taking body in operating an account—
(a) when he gives consent, or gives notice refusing consent, to the deposit-taking body’s doing of an act mentioned in section 327(1), 328(1) or 329(1) in opening, or operating, the account or a related account, or
(b) on a request from the deposit-taking body.
(4) Where the threshold amount for acts done in operating an account is specified under subsection (3) or this subsection, an officer of Revenue and Customs, or a constable, may vary the amount (whether on a request from the deposit-taking body or otherwise) by specifying a different amount.
(5) Different threshold amounts may be specified under subsections (3) and (4) for different acts done in operating the same account.
(6) The amount specified under subsection (3) or (4) as the threshold amount for acts done in operating an account must, when specified, not be less than the amount specified in subsection (2).
(7) The Secretary of State may by order vary the amount for the time being specified in subsection (2).
(8) For the purposes of this section, an account is related to another if each is maintained with the same deposit-taking body and there is a person who, in relation to each account, is the person or one of the persons entitled to instruct the body as respects the operation of the account.”
(6) In section 340 (interpretation of Part 7), after subsection (13) insert—
“(14) “Deposit-taking body” means—
(a) a business which engages in the activity of accepting deposits, or
(b) the National Savings Bank.”
(7) In section 459(4)(a) and (6)(a) (provision for certain orders to be subject to affirmative procedure), after “309,” insert “339A(7),”.
(1) In the Proceeds of Crime Act 2002 (c. 29), Part 7 (money laundering) is amended as follows.
(2) In section 330(1) (regulated sector: failure to disclose: offence committed if three conditions satisfied), for “each of the following three conditions is satisfied” substitute “the conditions in subsections (2) to (4) are satisfied”.
(3) For section 330(4) to (6) (the required disclosure) substitute—
“(3A) The third condition is—
(a) that he can identify the other person mentioned in subsection (2) or the whereabouts of any of the laundered property, or
(b) that he believes, or it is reasonable to expect him to believe, that the information or other matter mentioned in subsection (3) will or may assist in identifying that other person or the whereabouts of any of the laundered property.
(4) The fourth condition is that he does not make the required disclosure to—
(a) a nominated officer, or
(b) a person authorised for the purposes of this Part by the Director General of the Serious Organised Crime Agency,
as soon as is practicable after the information or other matter mentioned in subsection (3) comes to him.
(5) The required disclosure is a disclosure of—
(a) the identity of the other person mentioned in subsection (2), if he knows it,
(b) the whereabouts of the laundered property, so far as he knows it, and
(c) the information or other matter mentioned in subsection (3).
(5A) The laundered property is the property forming the subject-matter of the money laundering that he knows or suspects, or has reasonable grounds for knowing or suspecting, that other person to be engaged in.
(6) But he does not commit an offence under this section if—
(a) he has a reasonable excuse for not making the required disclosure,
(b) he is a professional legal adviser and—
(i) if he knows either of the things mentioned in subsection (5)(a) and (b), he knows the thing because of information or other matter that came to him in privileged circumstances, or
(ii) the information or other matter mentioned in subsection (3) came to him in privileged circumstances, or
(c) subsection (7) applies to him.”
(4) For section 331(4) to (6) (failure to disclose: nominated officers in the regulated sector: the required disclosure) substitute—
“(3A) The third condition is—
(a) that he knows the identity of the other person mentioned in subsection (2), or the whereabouts of any of the laundered property, in consequence of a disclosure made under section 330,
(b) that that other person, or the whereabouts of any of the laundered property, can be identified from the information or other matter mentioned in subsection (3), or
(c) that he believes, or it is reasonable to expect him to believe, that the information or other matter will or may assist in identifying that other person or the whereabouts of any of the laundered property.
(4) The fourth condition is that he does not make the required disclosure to a person authorised for the purposes of this Part by the Director General of the Serious Organised Crime Agency as soon as is practicable after the information or other matter mentioned in subsection (3) comes to him.
(5) The required disclosure is a disclosure of—
(a) the identity of the other person mentioned in subsection (2), if disclosed to him under section 330,
(b) the whereabouts of the laundered property, so far as disclosed to him under section 330, and
(c) the information or other matter mentioned in subsection (3).
(5A) The laundered property is the property forming the subject-matter of the money laundering that he knows or suspects, or has reasonable grounds for knowing or suspecting, that other person to be engaged in.
(6) But he does not commit an offence under this section if he has a reasonable excuse for not making the required disclosure.”
(5) In section 332(3) (failure to disclose: other nominated officers: the second condition), for “section 337 or 338” substitute “the applicable section”.
(6) For section 332(4) to (6) (the required disclosure) substitute—
“(3A) The third condition is—
(a) that he knows the identity of the other person mentioned in subsection (2), or the whereabouts of any of the laundered property, in consequence of a disclosure made under the applicable section,
(b) that that other person, or the whereabouts of any of the laundered property, can be identified from the information or other matter mentioned in subsection (3), or
(c) that he believes, or it is reasonable to expect him to believe, that the information or other matter will or may assist in identifying that other person or the whereabouts of any of the laundered property.
(4) The fourth condition is that he does not make the required disclosure to a person authorised for the purposes of this Part by the Director General of the Serious Organised Crime Agency as soon as is practicable after the information or other matter mentioned in subsection (3) comes to him.
(5) The required disclosure is a disclosure of—
(a) the identity of the other person mentioned in subsection (2), if disclosed to him under the applicable section,
(b) the whereabouts of the laundered property, so far as disclosed to him under the applicable section, and
(c) the information or other matter mentioned in subsection (3).
(5A) The laundered property is the property forming the subject-matter of the money laundering that he knows or suspects that other person to be engaged in.
(5B) The applicable section is section 337 or, as the case may be, section 338.
(6) But he does not commit an offence under this section if he has a reasonable excuse for not making the required disclosure.”
(7) In section 337 (protected disclosures), after subsection (4) insert—
“(4A) Where a disclosure consists of a disclosure protected under subsection (1) and a disclosure of either or both of—
(a) the identity of the other person mentioned in subsection (3), and
(b) the whereabouts of property forming the subject-matter of the money laundering that the discloser knows or suspects, or has reasonable grounds for knowing or suspecting, that other person to be engaged in,
the disclosure of the thing mentioned in paragraph (a) or (b) (as well as the disclosure protected under subsection (1)) is not to be taken to breach any restriction on the disclosure of information (however imposed).”
(1) In the Proceeds of Crime Act 2002 (c. 29), Part 7 (money laundering) is amended as follows.
(2) In each of sections 330(9)(b), 337(5)(b) and 338(5)(b) (disclosure to nominated officer is ineffective if employer’s procedures not followed), omit “and in accordance with the procedure established by the employer for the purpose”.
(3) In section 334 (penalties), after subsection (2) insert—
“(3) A person guilty of an offence under section 339(1A) is liable on summary conviction to a fine not exceeding level 5 on the standard scale.”
(4) In section 338(1) (authorised disclosures), omit paragraph (b) (disclosure must be made in prescribed form and manner) but not the “and” at the end.
(5) In section 339 (form and manner of disclosures), for subsections (2) and (3) substitute—
“(1A) A person commits an offence if he makes a disclosure under section 330, 331, 332 or 338 otherwise than in the form prescribed under subsection (1) or otherwise than in the manner so prescribed.
(1B) But a person does not commit an offence under subsection (1A) if he has a reasonable excuse for making the disclosure otherwise than in the form prescribed under subsection (1) or (as the case may be) otherwise than in the manner so prescribed.
(2) The power under subsection (1) to prescribe the form in which a disclosure must be made includes power to provide for the form to include a request to a person making a disclosure that the person provide information specified or described in the form if he has not provided it in making the disclosure.
(3) Where under subsection (2) a request is included in a form prescribed under subsection (1), the form must—
(a) state that there is no obligation to comply with the request, and
(b) explain the protection conferred by subsection (4) on a person who complies with the request.”
(1) In the Proceeds of Crime Act 2002, Part 7 (money laundering) is amended as follows.
(2) In section 330 (regulated sector: failure to disclose), after subsection (9) insert—
“(9A) But a disclosure which satisfies paragraphs (a) and (b) of subsection (9) is not to be taken as a disclosure to a nominated officer if the person making the disclosure—
(a) is a professional legal adviser,
(b) makes it for the purpose of obtaining advice about making a disclosure under this section, and
(c) does not intend it to be a disclosure under this section.”
(3) In section 337(5)(a) (disclosure to person nominated to receive disclosures under section 337), after “disclosures under” insert “section 330 or”.
(4) In section 338(1)(c) (first or second condition must be satisfied for disclosure to be authorised), for “or second” substitute “, second or third”.
(5) In section 338 (authorised disclosures), after subsection (2) insert—
“(2A) The second condition is that—
(a) the disclosure is made while the alleged offender is doing the prohibited act,
(b) he began to do the act at a time when, because he did not then know or suspect that the property constituted or represented a person’s benefit from criminal conduct, the act was not a prohibited act, and
(c) the disclosure is made on his own initiative and as soon as is practicable after he first knows or suspects that the property constitutes or represents a person’s benefit from criminal conduct.”
(6) In section 338(3) (the second condition), for “second” substitute “third”.
(1) The Proceeds of Crime Act 2002 (c. 29) is amended as follows.
(2) In section 364 (meaning of customer information) in subsection (5)—
(a) after paragraph (a) insert—
“(aa) constitutes an offence specified in section 415(1A) of this Act,”;
(b) in paragraph (b) after “paragraph (a)” insert “or (aa)”.
(3) In section 398 (meaning of customer information: Scotland) in subsection (5)—
(a) after paragraph (a) insert—
“(aa) constitutes an offence specified in section 415(1A) of this Act,”;
(b) in paragraph (b) after “paragraph (a)” insert “or (aa)”.
(4) In section 415 (money laundering offences) after subsection (1) insert—
“(1A) Each of the following is a money laundering offence—
(a) an offence under section 93A, 93B or 93C of the Criminal Justice Act 1988;
(b) an offence under section 49, 50 or 51 of the Drug Trafficking Act 1994;
(c) an offence under section 37 or 38 of the Criminal Law (Consolidation) (Scotland) Act 1995;
(d) an offence under article 45, 46 or 47 of the Proceeds of Crime (Northern Ireland) Order 1996.”
(1) Part 11 of the Proceeds of Crime Act 2002 (c. 29) (co-operation) is amended as follows.
(2) In section 444 (external requests and orders), for subsection (3)(a) (Order under the section may include provision about the functions of the Secretary of State, the Lord Advocate, the Scottish Ministers and the Director of the Assets Recovery Agency) substitute—
“(a) provision about the functions of any of the listed persons in relation to external requests and orders;”.
(3) In that section, after subsection (3) insert—
“(4) For the purposes of subsection (3)(a) “the listed persons” are—
(a) the Secretary of State;
(b) the Lord Advocate;
(c) the Scottish Ministers;
(d) the Director;
(e) the Director of Public Prosecutions;
(f) the Director of Public Prosecutions for Northern Ireland;
(g) the Director of the Serious Fraud Office; and
(h) the Director of Revenue and Customs Prosecutions.”
(4) In section 447(3) (meaning of “external investigation”), after paragraph (a) insert—
“(aa) the extent or whereabouts of property obtained as a result of or in connection with criminal conduct, or”.
Schedule 6, which contains minor and consequential amendments relating to provisions of this Chapter, has effect.