Account freezing orders: at what cost? – Doughty Street Chambers

Posted December 10th, 2019 in banking, forfeiture, news, proceeds of crime by sally

‘Last week, the National Crime Agency deployed account freezing orders to secure £190 million held in the UK. Malik Riaz, a property developer and one of the biggest employers in Pakistan, reportedly agreed to pay £190 million in order to conclude an investigation into the funds[1]. The agreement followed the obtaining, in August 2019, of eight account freezing orders at Westminster City Magistrates’ Court in connection with funds held in the UK totalling around £120 million (the final settlement includes a UK property valued at £50 million). The assets are to be returned to the State of Pakistan.’

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Doughty Street Chambers, 10th December 2019

Source: insights.doughtystreet.co.uk

Hawala: why it is used and what family practitioners should know about it – Family Law Week

‘Byron James, Partner and Head of Expatriate Law in Dubai, explains the challenges presented to family lawyers by the effective method of anonymous international money transfer system used around the world.; why and what family practitioners should know about it.’

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Family Law Week, 20th November 2019

Source: www.familylawweek.co.uk

Push Payment Fraud: Singularis v Daiwa – Case Analysis – Forum Chambers

Posted November 19th, 2019 in banking, contracts, fiduciary duty, fraud, news by sally

‘In Barclays Bank plc v Quincecare Ltd [1992] 4 All ER, Steyn J held that it was an implied term of the contract between a bank and a customer that the bank would use reasonable care and skill in and about executing the customer’s order. This term would be breached if the bank executed the order knowing it to be dishonestly given, or shut its eyes to the obvious fact of the dishonesty, or acted recklessly in failing to make such enquiries as an honest and reasonable man would make. In order to comply with that term, the bank should refrain from executing a customer’s order if and for so long as it was put on inquiry by having reasonable grounds for believing that the order was an attempt to misappropriate funds.’

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Forum Chambers, 19th November 2019

Source: www.forumchambers.com

Boxer’s banker fails in negligence claim against lawyers – Legal Futures

‘A solicitor, his law firm and the barrister they instructed have been granted summary judgment on a negligence claim brought against them by a banker fired for his work with boxer David Haye.’

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Legal Futures, 18th November 2019

Source: www.legalfutures.co.uk

Lloyds shareholders lose legal fight over HBOS takeover – The Guardian

Posted November 18th, 2019 in banking, class actions, damages, disclosure, news, shareholders, takeovers by sally

‘Thousands of shareholders in Lloyds Banking Group have lost a multimillion pound legal battle against the bank over its takeover of HBOS at the height of the global financial crisis.’

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The Guardian, 15th November 2019

Source: www.theguardian.com

Victims of bank transfer scams risk being left unprotected – The Guardian

Posted November 15th, 2019 in banking, codes of practice, compensation, fraud, news, victims by tracey

‘Bank transfer scam victims risk being left unprotected from January after the industry failed to agree a plan to compensate people. More than £1m a day is being lost to scams in which people are duped into authorising a payment to an account controlled by a criminal. The failure to agree a protection plan may make it more likely that the next government will step in.’

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The Guardian, 15th December 2019

Source: www.theguardian.com

Singularis Holdings in the Supreme Court: The Quincecare Duty of Care is Alive and Well, While the Case of Stone & Rolls Ltd is Finally Laid to Rest – 39 Essex Chambers

Posted November 7th, 2019 in appeals, banking, duty of care, fraud, news, Supreme Court by sally

‘There is a “Happy Halloween” present from the Supreme Court for commercial fraud claimant litigators. In the important case of Singularis Holdings Ltd (In Official Liquidation) -v- Daiwa Capital Markets Europe Ltd [2019] UKSC 50, handed down on 30 October 2019, the Supreme Court has upheld the existence of a bank’s Quincecare duty of care, even where the instructions which resulted in a claimant company being defrauded was given by that company’s sole director and controlling mind, and have also finally laying to rest the much criticised case of Stone & Rolls Ltd v Moore Stephens [2009] UKHL 39; [2009] 1 AC 1391 that had been used to attribute the fraud of a director of a one-man company to the company itself.’

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39 Essex Chambers, 31st October 2019

Source: www.39essex.com

New Judgment: Singularis Holdings Ltd (In Official Liquidation) (A Company Incorporated in the Cayman Islands) v Daiwa Capital Markets Europe Ltd [2019] UKSC 50 – UKSC Blog

Posted October 31st, 2019 in banking, duty of care, fraud, illegality, news by sally

‘An implied term of the contract between a bank and its customer is that the bank owes a duty of care not to execute the customer’s order if it knows the order to be dishonestly given, or shuts its eyes to obvious dishonesty, or acts recklessly in failing to make inquiries. This is known as the Quincecare duty of care, following the 1992 case of Barclays Bank plc v Quincecare Ltd.’

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UKSC Blog, 30th October 2019

Source: ukscblog.com

When is a Bank Account not a Bank Account Under Account Freezing and Forfeiture Orders? – Drystone Chambers

Posted October 29th, 2019 in banking, forfeiture, news, proceeds of crime by sally

‘As part of my series on AFO’s I am going to discuss what accounts can be frozen by Account Freezing Orders (‘AFO’s). Although the requirements under section 303Z5 setting out what a bank is seem straightforward, it can be hard in practice to determine when a bank account is not a bank account. It has, in my experience, caused a number of AFO’s to be discharged; this is where orders have frozen Forex trading accounts, ISA fund accounts, or other accounts which contain money but do not.’

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Drystone Chambers, October 2019

Source: drystone.com

Libor rigging inquiry shut down by Serious Fraud Office – BBC News

‘An investigation into the rigging of Libor, the benchmark interest rate that tracks the cost of borrowing cash, has been unexpectedly closed.’

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BBC News, 19th October 2019

Source: www.bbc.co.uk

New Judgment: Routier v Commissioners for Her Majesty’s Revenue and Customs [2019] UKSC 43 – UKSC Blog

‘The issue in this appeal was whether a movement of capital between the United Kingdom and Jersey should be regarded as an internal transaction taking place within a single member state for the purposes of article 56 of the Treaty Establishing the European Community; and if not, whether the refusal of relief under section 23 in respect of the gift to the Coulter Trust is justifiable under EU law.’

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UKSC Blog, 16th October 2019

Source: ukscblog.com

Supreme Court to hear Mastercard CPO appeal – Litigation Futures

Posted October 9th, 2019 in appeals, banking, class actions, EC law, fees, news, Supreme Court by sally

‘The Supreme Court has granted Mastercard permission to appeal against the Court of Appeal ruling that kept the massive £14bn class action over interchange fees alive.’

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Litigation Futures, 8th October 2019

Source: www.litigationfutures.com

Merricks v Mastercard: £14bn appeal to be heard by Supreme Court – Law Society’s Gazette

‘The Supreme Court will rule on a landmark case that will test the standards applied to a Collective Proceedings Order in a major competition claim. Permission has been granted for the defendant in Merricks v Mastercard Incorporated & Anor to bring its appeal against a Court of Appeal ruling from April this year.’

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Law Society's Gazette, 4th October 2019

Source: www.lawgazette.co.uk

Banking regulation after Brexit – OUP Blog

Posted October 1st, 2019 in banking, brexit, financial regulation, news by sally

‘It is a truism that Brexit will have a significant impact on banks and the wider financial services industry. The loss of passports by UK firms has received some attention from the non-specialist media, and is relatively well-understood. However, the loss of passports, significant as it is, is just one of many issues. Others have received no or little coverage outside the industry. In this blog, we will touch upon some of them. To do so, we need to step back and consider the very legal nature of a bank.’

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OUP Blog, 30th September 2019

Source: blog.oup.com

Number of bank transfer scams in UK rises by 40% in a year – The Guardian

Posted September 27th, 2019 in banking, codes of practice, crime prevention, fraud, news, statistics by tracey

‘The amount of money stolen by criminals through bank transfer scams has risen by 40% in a year and is running at more than £1m a day, according to official UK data.’

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The Guardian, 26th September 2019

Source: www.theguardian.com

Banker’s wife who spent £16m in Harrods escapes extradition to Azerbaijan on embezzlement charges – Daily Telegraph

‘A banker’s wife who spent £16million during a series of shopping sprees in Harrods has escaped extradition back to Azerbaijan on fraud charges.’

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Daily Telegraph, 26th September 2019

Source: www.telegraph.co.uk

Couple must repay £10.4 million after ripping off struggling firms to live high life on yachts – Crown Prosecution Service

Posted September 13th, 2019 in assets recovery, banking, bankruptcy, fraud, loans, news, proceeds of crime by tracey

‘A couple who made a fortune bankrupting companies to fund their lavish lifestyle have today been ordered to repay more than £10million.’

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Crown Prosecution Service, 12th September 2019

Source: www.cps.gov.uk

HMRC faces legal fight for handing Britons’ data to US tax officials – The Guardian

‘HMRC is facing a legal battle to block it from handing personal details about British citizens to US tax authorities. The case could have wide-ranging implications for tens of thousands of so-called accidental Americans who left the US when they were months or years old but risk having their British bank accounts frozen for failing to comply with the US tax requirements.’

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The Guardian, 12th September 2019

Source: www.theguardian.com

NCA freezes £100m suspected to be from corruption overseas – The Guardian

‘More than £100m suspected to have been imported to the UK from bribery and corruption overseas has been frozen following a court order obtained by the National Crime Agency.’

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The Guardian, 14th August 2019

Source: www.theguardian.com

Government criticised for giving banks key oversight role over fraud and money laundering policy – The Independent

Posted July 15th, 2019 in banking, financial regulation, fraud, money laundering, news by tracey

‘Government plans to combat money laundering, fraud and other economic crimes have come under fire for allowing banks that have previously been implicated in wrongdoing to play a key role in writing the new rules.’

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The Independent, 13th July 2019

Source: www.independent.co.uk