Seizure and forfeiture of monies held in bank accounts under the Proceeds of Crime Act 2002

Produced in partnership with Gary Pons of 5 St Andrew's Hill

Practice notes

Seizure and forfeiture of monies held in bank accounts under the Proceeds of Crime Act 2002

Produced in partnership with Gary Pons of 5 St Andrew's Hill

Practice notes

Background—the creation of the powers

Chapter 3B, Part 5 of the Proceeds of Crime Act 2002 (POCA 2002), entitled the ‘Forfeiture of money held in bank and Building society accounts’, provides the procedure for the detention and forfeiture of money held in bank accounts.

In summary the provisions provide for applications relating to the following:

•
account freezing orders (AFOs) in respect of monies in bank accounts
•
applications to vary and discharge AFOs
•
a streamlined procedure for issuing a forfeiture notice
•
account forfeiture orders
•
the participation of victims and other owners
•
appeals in relation to forfeiture decisions
•
applications for compensation

These applications are dealt with in the magistrates’ court. They are stand-alone proceedings that are separate and independent from any criminal proceedings that may also take place.

The procedures for making such applications are governed by Magistrates’ Courts (Freezing and Forfeiture of Money in Bank and Building Society Accounts) Rules 2017, SI 2017/1297.

Civil recovery and cash

Gary Pons

Barrister, 5 St Andrew's Hill

An experienced and highly proficient barrister who specialises in complex financial cases often with a multi-jurisdictional element. Ranked in Chambers & Partners and Legal 500.

Junior counsel in the case of Moss [2019] EWCA Crim 50: concerning the recognition and enforcement of a confiscation order abroad.

Gary represented the prosecution in the appeal of Benos| [2019] EWCA Crim 1093: This was a case concerning a deed of variation to a will and the legal effect of conditions precedent contained within the deed. The Court of Appeal described his written submission as “powerful”.

Gary represented the prosecution in the appeal of Gbadebo [2018] EWCA Crim 2508: A case concerning out of time appeals and fresh evidence.

He has been instructed since 2015 in a large asset recovery case in Costa Rica, which is currently focused on the private prosecution of a Costa Rican trustee for misappropriation of the trust assets.

Jurisdiction(s):

United Kingdom

Key definition:

Freezing order definition

What does Freezing order mean?

The pensions regulator can issue a freezing order when it is considering winding up a defined benefit scheme. It must be satisfied that it is necessary for member protection and that there is an immediate risk to the interests of the members or the assets of the scheme. The effect of a freezing order is that benefits cease to accrue and the scheme cannot be wound up (except by order of the Pensions Regulator).

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