UK Criminal Finances Act 2017: A Dechert "Dirty Money" Trilogy - Part One: "A Fistful of Tax Dollars" - A New Corporate Offence of Failure to Prevent the Facilitation of Tax Evasion

May 25, 2017

The Criminal Finances Act 2017 represents a further significant development in the approach to the investigation and prosecution of financial crime in the UK.1 The new offence of failure to prevent the facilitation of tax evasion and changes to the regime for suspicious activity reports will require entities which carry on business in the UK to take a yet more active role in the detection and prevention of potential financial crime, and to further examine and update their compliance policies and procedures. New unexplained wealth orders ("UWOs") may also place onerous requirements on individuals and companies to explain the source of their assets in the UK and beyond.

This OnPoint – the first of a Dechert “trilogy” on the Criminal Finances Act 2017 - focuses on the new corporate offence of failure to prevent the facilitation of tax evasion. Two further OnPoints will follow: (a) "For a Few Days More" which will explain the reform of the suspicious activity reporting regime and (b) "The Good the Bad and the Wealthy" which will examine new unexplained wealth orders.

Read 'Part One: "A Fistful of Tax Dollars" - A New Corporate Offence of Failure to Prevent the Facilitation of Tax Evasion'

The article was republished by Law360 on June 9.