Chester 01244 405555

Grosvenor Court
Foregate Street Chester
Cheshire CH1 1HG
DX: 19990 Chester

Shrewsbury 01743 443 043

Lakeside House
Oxon Business Park
Shrewsbury SY3 5HJ
DX: 148563 Shrewsbury 14

Airport City, Manchester 0844 800 8346

Office 129
Manchester Business Park
3000 Aviator Way
Manchester M22 5TG

Send us a message
Our Offices

Money Laundering : How Estate Agents Can Manage the Risk

14th July, 2014

HMRC supervises estate agents under the Money Laundering Regulations 2007. Guidance was issued on 20 June 2014 as to how estate agents can minimise the risks and report suspicious activity.

The penalties for falling foul of the rules are severe including civil and criminal penalties.

Areas of particular concern when managing risk include the source of funds and passing off stolen property at auctions. Warning signs of suspicious activity include difficulties in checking the client’s identity, the use of cash and if the property value does not fit the client’s profile.

Existing customers can change their pattern of transactions which should be a warning. Knowing your customer is key to avoiding the traps money launderers set for professionals.

Firms must also have a reporting procedure which could ultimately lead to a suspicious activity report to the National Crime Agency under the Proceeds of Crime Act or the Terrorism Act. This is an area where you need to be very careful not to warn or “tip off” suspected money launderers as this is a criminal offence in itself.

It is a fact of life today that regulatory obligations regarding money laundering are becoming wider and wider. The full advice can be read here.

You might also be interested in...

Fair pay for fair work? “Dividends” in owner-managed companies.

22nd May, 2019

There have been a number of Court decisions in recent years grappling with the application of established legal... Read More »

Defending or Bringing a potential Inheritance Act Claim

17th May, 2019

The recent judgement in Wellesley v Wellesley follows the developing line of claims brought by adult children who... Read More »

Shropshire’s leading ladies come together to celebrate business achievements

17th May, 2019

Businesswomen from across Shropshire have come together at an exclusive afternoon tea event held by law firm Aaron... Read More »

Contact Us