The Proceeds of Crime Act 2002 (References to Welsh Revenue Authority Financial Investigators) (Amendment) Order 2018

EXPLANATORY NOTE

(This note is not part of the Order)

This Order amends the Proceeds of Crime Act 2002 (References to Welsh Revenue Authority Financial Investigators) Order 2018 (S.I. 2018/196 (W. 45)) (“the Principal Order”).

The amendments made by this Order are required as a result of amendments to the Proceeds of Crime Act 2002 (c. 29) (“POCA”) made by the Criminal Finances Act 2017 (c. 22) (“CFA”).

The CFA introduces powers into POCA to seize, detain and forfeit certain listed items of property, and to freeze and forfeit money in bank and building society accounts (“the new forfeiture powers”). These powers are supported by the creation of two new categories of investigation in Part 8 of POCA (the detained property investigation and frozen funds investigations) (“the new investigations”). This Order inserts provisions into the Principal Order to enable Welsh Revenue Authority accredited financial investigators (“AFIs”) to have access to the new forfeiture powers and the new investigations, and to specify which AFIs are “senior officers” for the purposes of those provisions. In addition, this Order makes provision in respect of the access to search powers in sections 352 and 353 of POCA. The scope of the provision in the Principal Order is extended to include the new investigations.

The CFA inserts provisions into Part 7 of POCA which allow AFIs who are senior officers to make an application to the magistrates’ court for an order under section 336A of POCA to extend the moratorium period. This is a period of 31 days which arises when suspicions of money laundering have been disclosed, and during which law enforcement cannot be assumed to consent to a particular transaction proceeding. This Order also inserts provision into the Principal Order to specify which AFIs are senior officers for the purposes of an order under section 336A of POCA.

The Welsh Ministers’ Code of Practice on the carrying out of Regulatory Impact Assessments was considered in relation to this Order. As a result, it was not considered necessary to carry out a regulatory impact assessment as to the likely costs and benefits of complying with this Order.