Detained cryptoassets: detention of proceeds of conversionU.K.
[F110Z7DD(1)This paragraph applies where cryptoassets are converted into money in accordance with an order under paragraph 10Z7DA.
(2)The proceeds of the conversion (the “converted cryptoassets”) may be detained initially until the end of the period that the cryptoassets could, immediately before the conversion, have been detained under Part 4BA (ignoring the possibility of any extension of that period).
(3)The period for which the converted cryptoassets may be detained may be extended by an order made by the relevant court.
(4)An order under sub-paragraph (3) may not authorise the detention of the converted cryptoassets beyond the end of the period of 2 years beginning with the relevant date; but this is subject to sub-paragraph (5).
(5)The relevant court may make an order for the period of 2 years in sub-paragraph (4) to be extended to a period of up to 3 years beginning with the relevant date.
(6)In sub-paragraphs (4) and (5) “the relevant date” means the date on which the first order under paragraph 10Z7AE or 10Z7AG (as the case may be) was made in relation to the cryptoassets.
(7)An application for an order under sub-paragraph (3) or (5) may be made—
(a)in relation to England and Wales and Northern Ireland, by the Commissioners for His Majesty’s Revenue and Customs or an authorised officer;
(b)in relation to Scotland, by a procurator fiscal.
(8)The relevant court may make an order under sub-paragraph (3) only if satisfied that there are reasonable grounds for suspecting that the converted cryptoassets to be further detained—
(a)are within subsection (1)(a) or (b) of section 1, or
(b)are property earmarked as terrorist property.
(9)The relevant court may make an order under sub-paragraph (5) only if satisfied that a request for assistance is outstanding in relation to the cryptoassets mentioned in sub-paragraph (1).
(10)A “request for assistance” in sub-paragraph (9) means a request for assistance in obtaining evidence (including information in any form or article) in connection with the cryptoassets, made—
(a)by a judicial authority in the United Kingdom under section 7 of the Crime (International Co-operation) Act 2003,
(b)by an authorised officer, to an authority exercising equivalent functions in a foreign country,
(c)by the Scottish Ministers in connection with their functions under this Schedule, to an authority exercising equivalent functions in a foreign country, or
(d)by a person under section 375A or 408A of the Proceeds of Crime Act 2002 (evidence overseas).]
Textual Amendments
F1Sch. 1 Pts. 4BA-4BD inserted (26.10.2023 for specified purposes, 26.4.2024 in so far as not already in force) by Economic Crime and Corporate Transparency Act 2023 (c. 56), s. 219(1)(2)(b), Sch. 10 para. 2; S.I. 2024/269, reg. 4(c)