- Publication Date
- 2021-06-23
The SRA conducted an audit that revealed multiple compliance issues at a law firm spanning several years. Between June 2017 and August 2022, the firm did not maintain fully compliant anti-money laundering (AML) policies, controls, and procedures. Additionally, on several occasions, the firm failed to conduct adequate client or matter risk assessments as stipulated by the required regulations. Furthermore, from July 2020 to April 2022, funds were accepted for client accounts before completing the necessary customer due diligence.
As a result of these findings, the SRA imposed a financial penalty of £23,930 on the law firm. The penalty was deemed appropriate and proportionate due to the firm's conduct, which persisted beyond reasonable timelines and posed significant risks. These actions were found to potentially damage public interest and confidence in the legal profession.
Mitigating factors were considered, including the firm's cooperation with the SRA, existing AML management arrangements prior to August 2022, and efforts undertaken to remedy the identified harm. There was no evidence indicating materialized harm from the firm's conduct during this period.
The specific names and addresses of the firm and involved individuals have been omitted to protect privacy.