The UK’s National Crime Agency has secured its second-ever unexplained wealth order (UWO) that will force the ultimate owners of three London properties to explain how they funded the purchases.
Scant details were provided but it is known that the “prime location” properties were originally bought for more than £80m ($101m, €90.6m) and are held by offshore companies.
They are linked to a politically exposed person believed to be involved in serious crime.
If the individual is unable to explain the source of the funds used to buy the properties they could be confiscated under the civil recovery regime.
NCA action
Interim freezing orders have been granted by the High Court, which means that the properties cannot be sold, transferred or dissipated while the investigation is ongoing.
Andy Lewis, head of asset denial at the NCA, said: “This is the second time the NCA has successfully secured UWOs since the new legislation was enacted.
“They are a powerful tool in being able to investigate illicit finance flowing into the UK and discourage it happening in the first place.
“The individuals behind these offshore companies now have to explain how the three properties were obtained.”
Questions to answer
UWOs are a relatively new power that can be used by the NCA, HM Revenue & Customs, the Serious Fraud Office (SFO) and several other enforcement agencies.
It came into force on 31 January 2018.
The very first UWO involved £22m worth of property, including a golf course, believed to belong to jailed Azerbaijani banker Jahangir Hajiyev and his wife Zamira. She made headlines last year when it was reported she spent around £16m in Harrods over the past decade.
A legal challenge to have it dismissed was rejected by the High Court in October 2018.
