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21 January 2014
Issue: 7591 / Categories: Legal News
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Rise in dirty money

£288m laundered in the UK last year

Money laundering tripled in value in the UK last year, as part of an overall rise in financial services fraud.

According to the BDO FraudTrack Report, £288m was laundered in reported cases in the UK last year, compared to £70m in 2012—a surge of 309%.

Some £170m of this was laundered through a bureau de change in the west London neighbourhood of Notting Hill, while an East Midlands courier laundered £52m and £20m was laundered through a bogus marriage ring in London.

Kaley Crossthwaite, head of fraud at BDO and author of the report, says the rise “may be partly down to an increase in organised crime activity, however the demand for transparency in the financial services sector is also surely playing a part.”

She said increased legislation and compliance “imposed on largely unsuspecting businesses” operating in the financial services sector was “uncovering increasing numbers of illegal transactions that may have historically been swept under the carpet”.

Financial services industry fraud now accounts for just over half of all reported fraud, and rose from 122 offences worth £473m in 2012 to 132 worth £532m last year.

However, the total amount of fraud in the UK fell last year, from £1.37bn to £1.05bn.

Issue: 7591 / Categories: Legal News
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MOVERS & SHAKERS

NLJ Career Profile: Stephen Ward, The Barrister Group

NLJ Career Profile: Stephen Ward, The Barrister Group

From mowing lawns to life at the Bar: Stephen Ward reflects on an unconventional career

Clarke Willmott—Ben Loosemore

Clarke Willmott—Ben Loosemore

Commercial property partner joins Clarke Willmott in Southampton

Ellisons—Robert Tiffen

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Robert Tiffen joins Ellisons as Partner in growing Norwich office

NEWS
The Law Society RFC Festival of Sport returns next month, bringing together legal and financial services professionals for one of the sector’s largest annual sporting events
Legal aid deserts leave almost one in four without adequate access to justice
The Solicitors Regulation Authority (SRA) has warned solicitors and law firms that using artificial intelligence does not alter their professional obligations, amid concerns over inaccurate legal material and client confidentiality
From forgotten interest claims to case-management appeals, a string of procedural developments offers useful—and occasionally cautionary—lessons for practitioners

Jonathan Fisher KC highlights that it now accounts for around 40% of criminal offences, with roughly 70% involving technology, and argues that the UK cannot simply prosecute its way out of the problem. Detection, investigation and prosecution all require improvement, while different fraud types demand tailored responses.

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