- Publication Date
- 2024-01-16
The Solicitors Regulation Authority (SRA) conducted an investigation into a law firm's practices concerning money laundering regulations. The SRA identified deficiencies in the firm's compliance with regulations over two and a half years. They found the firm lacked adequate risk assessments and control procedures, which left them vulnerable to money laundering risks, especially in conveyancing transactions.
The investigation revealed that the firm failed to properly document the source of funds in three conveyancing matters. Additionally, the firm made unauthorized payments on behalf of clients, which highlighted deficiencies in their risk management and due diligence processes. The firm was found to have acted on instructions without verifying client authorization.
The SRA reached a regulatory settlement agreement, which included a financial penalty and an acknowledgment by the firm of the breaches identified. The firm's cooperation in rectifying their non-compliance was noted, and steps were taken to improve their internal procedures.
The review period covered activities from June 2017 to November 2019. The law firm has since worked to become compliant, reducing the risk of future non-compliance and ensuring better safeguarding against money laundering practices.
No personal names, specific addresses, or references to the SRA Code of Conduct and Principles have been included in this summary, as per the required adjustments.