The National Crime Agency (NCA) recently seized millions of pounds from a sophisticated international money laundering scheme, the Azerbaijan laundromat. The seizure was made as a result of an NCA investigation into money held in bank accounts linked to an Azeri politician.
A Forfeiture Order was secured for £5.6 million held in UK bank accounts that belonged to Javanshir Feyziyev’s family members. Feyziyev is a member of the Azerbaijan parliament, Co-chair of the EU-Azerbaijan Parliamentary Cooperation Committee and Chair of the UK-Azerbaijan All Parliamentary Cooperation Committee.
The NCA secured six Account Freezing Orders for accounts held by members of Feyziyev’s family. The investigators in the case determined that the funds held in these accounts came from the Azerbaijan laundromat and, as a result, were recoverable property (property obtained through unlawful conduct). The accounts were held in the name of his wife, Parvana Feyziyeva, his child, Orkhan Javanshir, and his nephew, Elman Javanshir.
This recent seizure of funds highlights Account Freezing Orders as a powerful tool for the NCA and other law enforcement agencies. In this article, we provide our advice for what to do and how we can help if you are faced with an Account Freezing Order.
Account Freezing Orders Explained
Account Freezing Orders were introduced by the Criminal Finances Act 2017, amending the Proceeds of Crime Act (POCA) 2002. It is an order set out to freeze bank and building society accounts (with at least £1,000) when there are reasonable grounds to suspect that the funds originated from criminal conduct or are intended to be used for unlawful conduct.
A criminal investigation does not need to be underway to apply for an Account Freezing Order, which is why they are widely used and regularly granted by the Magistrates Court. Account Freezing Orders are therefore a much cheaper and more efficient solution for investigative bodies than criminal prosecutions or freezing injunctions obtained in the High Court.
Such orders can be made with or without notice (ex parte), and are made by officers working for investigative authorities such as HMRC, SFO and NCA. If the court is satisfied that there are grounds to suspect the account in question represents criminal proceeds, the Account Freezing Order can last up to two years.
Received notice of an Account Freezing Order? We can help.
If you have received notice of an Account Freezing Order, it is imperative that you contact a specialist team of solicitors to assist and advise you. We are a leading practice that routinely navigates white collar crime, financial and corporate crime, POCA, and money laundering investigations.
With an in-depth understanding of the practice and policy of the investigative authorities, we will try to discuss your case directly with the ‘enforcement officer’ and prepare any representations along with supporting evidence about the lawful origins of the funds and the lawful purpose of those funds.
We are on hand to challenge applications for Account Freezing Orders and Account Forfeiture Orders now. Our lawyers have been highly successful with these types of negotiations in the past, and consistently achieves excellent results for our clients. We are renowned for our financial crime work, high acquittal rate and cutting-edge advice.
To find out more about Account Freezing Orders, you can listen to Siobhain Egan’s podcast on the subject here - Account Freezing Orders - Podcast
Contact our Specialist Account Freezing Orders Lawyers, London
Lewis Nedas Law has been recognised as one of the Best Law Firms 2022 by The Times and, for the 13th year running, has been highly ranked by the Legal 500. Our track record of dealing with Account Freezing Orders speaks for itself, having persuaded HMRC to return £800,000 that had been seized.
