Proceeds of Crime Act 2002
What this means for your business
- Enforced by
- FCA, Forestry Commission
- Applies to
- United Kingdom
- On this page
- 31 compliance obligations, 3 practical guides across 2 topics
What you must do
31 compliance obligations under this legislation — 15 can result in imprisonment.
Management duties 1
Provide account information to authorities under a monitoring order
If a court issues an account‑monitoring order, your bank (or other financial institution) must hand over the specified account details of the named person to the appropriate officer. You must do this in the manner and at the times set out in the order, and the order can last for up to 90 days.
Notifications 1
Notify the NCA when you receive a money‑laundering disclosure request
If the National Crime Agency (or another authorised person) asks your business for information because they suspect someone of money laundering, you must send a formal notification. The notification must state that you will disclose the information (or that a request has been made), identify the suspected person (if known), describe the information requested and say who will receive it.
Other requirements 5
Apply to vary a confiscation order if amount seems too high
If you have been hit with a confiscation order under the Proceeds of Crime Act and you think the amount you must pay is excessive, you can ask the court to reconsider. You must make this application within 28 days of your latest conviction, providing evidence to support your view.
Apply to vary a confiscation order within 28 days
If your business has been hit with a confiscation order under the Proceeds of Crime Act and you think the amount you have to pay is too high, you must apply to the Crown Court to have it varied. You have to do this within 28 days of the conviction that triggered the order and must provide evidence to support your view. The court will then decide whether to reduce the amount.
Comply with any PCML code of practice in force
If a code of practice is issued under the Proceeds of Crime Act 2002, you must follow its requirements whenever you carry out any function covered by the Act (for example, handling cash, monitoring transactions or reporting suspicious activity). Failure to follow the code won’t itself be a criminal offence, but it can be used as evidence against you in other PCML prosecutions.
Deliver property and documents as ordered under an interim receiving order
Unlimited fineIf a court issues an interim receiving order that covers assets you own, you must hand over those assets – and any documents relating to them – to the place or person the order specifies. You also have to do anything reasonably required by the interim receiver to preserve the assets. Failure to comply is a criminal offence.
Transfer property to enforcement administrator when ordered
If your business is appointed as a management administrator under the Proceeds of Crime Act, the court can order you to hand over any property you hold to the enforcement administrator. You must carry out that transfer, and once you do you are released from the administrator role and any further POCA duties.
Payments and fees 4
Pay confiscation order within set timeframes
14 years imprisonmentIf a court orders you to repay the proceeds of crime, you must pay the full amount on the day the order is made unless the court allows a later date. The court can set a payment period of up to three months, and you can ask to extend it to a maximum of six months if you can show you cannot pay. You must follow the schedule and keep proof of each payment.
Pay confiscation order within the court‑specified time
If a court makes a confiscation order against you, you must pay the whole amount on the day the order is made. If you cannot pay that day, the court can set a payment schedule – up to three months, or up to six months if you get an extension. You must stick to the dates set by the court.
Pay interest on any unpaid part of a confiscation order
14 years imprisonmentIf your business is ordered by a court to pay money under a POCA confiscation order and you fail to pay the full amount on the due date, you must also pay interest on the overdue balance. The interest rate is the same as the rate applied to High Court money judgments and continues until the whole sum is paid.
Pay interest on late confiscation‑order payments
If your business has a confiscation order (a court order to pay money derived from crime) and you don’t pay the amount on the date the order requires, you must also pay interest on the overdue sum. The interest rate is the same as that used for civil judgment debts and is added to the total you owe.
Offences and prohibitions 17
Acquire, use or possess criminal property
14 years imprisonmentIf your business acquires, uses or holds property that is the proceeds of a crime you commit an offence, unless one of the specific defences in the law applies (e.g., you disclosed it to the authorities, you paid a fair price, or you were acting under a statutory enforcement function). Conviction can lead to a fine and/or imprisonment, with the exact maximum penalties set elsewhere in the Proceeds of Crime Act.
Assault an accredited financial investigator
51 weeks imprisonmentIf anyone physically assaults a financial investigator who is accredited and is using a statutory power (for example, to search or seize assets), they commit a criminal offence. On conviction in the Magistrates' Court they can be sentenced to up to 51 weeks in prison, an unlimited fine, or both.
Assault or obstruct officers executing a search warrant
51 weeks imprisonmentIf you or someone acting for your business assaults, resists or deliberately blocks a National Crime Agency officer, a Financial Conduct Authority officer, or a relevant Director’s staff who are carrying out a search‑and‑seizure warrant, you commit a criminal offence. On conviction in the Magistrates' Court you can be fined (unlimited for assault, up to £1,000 for obstruction) and/or jailed for up to 51 weeks in England and Wales (or up to 6 months in Northern Ireland). The risk applies to any business that might be subject to a search warrant under the Proceeds of Crime Act.
Commit a lifestyle offence (e.g., drug trafficking, money laundering)
Unlimited fineIf your business is involved in any of the serious crimes listed in Schedule 2 – such as drug or arms trafficking, money laundering, terrorism, slavery, human trafficking, counter‑feiting, intellectual‑property infringement, prostitution‑related offences or related in‑choate conduct – you can be prosecuted. A conviction can attract an unlimited fine and imprisonment, and the case will be dealt with in the Crown Court.
Conceal, convert, transfer or remove criminal property
10 years imprisonmentIf your business hides, disguises, moves, or gets rid of assets that are the proceeds of crime, you commit an offence under the Proceeds of Crime Act. The offence applies unless a specific defence applies (e.g., an authorised disclosure, very small amounts for regulated firms, or actions taken in the course of a regulated business with proper customer‑due‑diligence). A conviction can result in an unlimited fine and up to ten years' imprisonment.
Disclose information that could prejudice a criminal investigation (regulated sector)
2 years imprisonmentIf your business operates in a regulated sector and you reveal information that you received as part of that business to the police, HMRC, a nominated officer or an authorised NCA officer, and the disclosure is likely to prejudice a possible investigation, you commit an offence. The same offence applies if you disclose that an investigation into a possible offence is being considered or is under way and that disclosure could prejudice it. Conviction can lead to up to two years’ imprisonment and an unlimited fine (or up to three months’ imprisonment and a level‑5 fine on summary).
Disclose or destroy evidence to prejudice a confiscation or money‑laundering investigation
5 years imprisonmentIf you knowingly (or even suspect) that a police or regulator is carrying out a confiscation, civil recovery, frozen‑funds, crypto‑asset, exploitation‑proceeds, or money‑laundering investigation, it is an offence to give a disclosure that could hurt the investigation or to falsify, hide, destroy or otherwise dispose of documents that are relevant. Conviction can lead to up to five years in prison and an unlimited fine.
Facilitate acquisition, retention, use or control of criminal property
14 years imprisonmentIf you enter into or are involved in an arrangement that you know or suspect helps someone obtain, keep, use or control property that is the proceeds of crime, you commit an offence under the Proceeds of Crime Act. Certain exceptions apply – for example, if you make an authorised disclosure, act in a statutory enforcement function, or the value is below the threshold set in the Act. A conviction can lead to an unlimited fine and a term of imprisonment.
Fail to comply with a customer information order or give false information
Unlimited fineIf your financial institution does not follow a customer information order without a reasonable excuse, or if it knowingly or recklessly provides a false or misleading statement when trying to comply, it commits a criminal offence. Conviction can result in an unlimited fine, and the case may be dealt with in a magistrates’ court (summary) or, for the false‑statement offence, also in the Crown Court.
Fail to comply with a disclosure order
6 months imprisonmentIf you do not follow a disclosure order – for example, you fail to give the information the order requires – and you have no reasonable excuse, you commit an offence. On conviction in the Magistrates' Court you can be jailed for up to six months, fined an unlimited amount, or both.
Fail to comply with a disclosure order or give false information
2 years imprisonmentIf you, as a business or individual, do not follow a disclosure order – for example, failing to provide required information about assets – or you deliberately give a false or misleading statement to satisfy that order, you commit an offence. On conviction you can be sentenced to up to two years’ imprisonment and face an unlimited fine. The case may be dealt with in either the Magistrates’ Court (summary) or the Crown Court (indictable).
Fail to disclose money‑laundering information as a nominated officer
If a person who has been nominated to receive a money‑laundering disclosure (under s.337 or s.338) knows or suspects someone is laundering money and does not pass that information to an authorised person as soon as practicable, they commit a criminal offence. The offence does not apply where the officer has a reasonable excuse, or where the alleged laundering is taking place abroad and is not illegal in that country.
Fail to disclose money‑laundering information in a regulated sector
Unlimited fineIf you work for a business that is in a regulated sector and you know or reasonably suspect that someone is involved in money‑laundering, and you receive information in the course of your work that could identify the person or the laundered assets, you must promptly tell a nominated officer or an authorised person of the National Crime Agency. Failing to make that disclosure – without a reasonable excuse – is a criminal offence.
Obstruct an immigration officer
51 weeks (England & Wales), 12 months (Scotland), 1 month (Northern Ireland) imprisonmentIf you or anyone acting for your business deliberately resists or blocks an immigration officer who is exercising a statutory power (such as searching, seizing cash or crypto‑assets, or detaining seized property), you commit a criminal offence. On conviction in a magistrates' court you can be sentenced to up to 51 weeks in prison (or up to 12 months in Scotland, 1 month in Northern Ireland) and/or fined up to £1,000.
Offence under sections 327‑329 of the POCA
14 years imprisonmentIf you commit any offence covered by sections 327, 328 or 329 of the Proceeds of Crime Act 2002 you can be prosecuted. On conviction you may be sentenced to up to 14 years in prison, an unlimited fine, or both. The offence can be tried either in the Magistrates’ Court (summary) or the Crown Court (indictable).
Provide false information under an unexplained wealth order
2 years imprisonmentIf you give a statement that you know is false, or are reckless about it being false, when trying to comply with an unexplained wealth order, you commit a criminal offence. On conviction you can be sent to prison for up to two years and face an unlimited fine (or, on summary conviction, up to 12 months in prison and a fine up to the statutory maximum).
Supply, produce or import controlled drugs
If your business manufactures, supplies, possesses with intent to supply, imports, exports or otherwise deals with controlled drugs in breach of the Misuse of Drugs Act 1971 (or related customs provisions), you commit a criminal offence. A conviction can result in an unlimited fine and a term of imprisonment.
Reporting and filing 3
Notify the NCA if a joint disclosure report is not filed on time
2 years imprisonmentIf your business makes a required notification under the Proceeds of Crime Act and a joint disclosure report is not completed before the deadline, you must tell an NCA authorised officer as soon as practicable after that deadline. The rule also makes clear that you still have to disclose any other information you know that is not just from the original request.
Provide statement and documents under an Unexplained Wealth Order
Unlimited fineIf a High Court makes an Unexplained Wealth Order against you or your company, you must give a written explanation of your interest in the property and how you acquired it, and supply any documents the order requires, within the time‑frame set by the court.
Provide statements and documents under Unexplained Wealth Orders
If a Scottish court issues an Unexplained Wealth Order against you or a company you run, you must give a detailed statement about the property involved – how you own it, how you obtained it and any other information the order asks for – and supply any requested documents, all within the time limit set by the court.
Penalties for non-compliance
23 penalties under this legislation. 15 can result in imprisonment. 19 carry an unlimited fine.
Pay confiscation order within set timeframes
Unlimited fine and/or 14 years imprisonment
Pay interest on any unpaid part of a confiscation order
Unlimited fine and/or 14 years imprisonment
Acquire, use or possess criminal property
Unlimited fine and/or 14 years imprisonment
Assault an accredited financial investigator
Unlimited fine and/or 51 weeks imprisonment
Assault or obstruct officers executing a search warrant
Unlimited fine and/or 51 weeks imprisonment
Conceal, convert, transfer or remove criminal property
Unlimited fine and/or 10 years imprisonment
Disclose information that could prejudice a criminal investigation (regulated sector)
Unlimited fine and/or 2 years imprisonment
Disclose or destroy evidence to prejudice a confiscation or money‑laundering investigation
Unlimited fine and/or 5 years imprisonment
Facilitate acquisition, retention, use or control of criminal property
Unlimited fine and/or 14 years imprisonment
Fail to comply with a disclosure order
Unlimited fine and/or 6 months imprisonment
Fail to comply with a disclosure order or give false information
Unlimited fine and/or 2 years imprisonment
Offence under sections 327‑329 of the POCA
Unlimited fine and/or 14 years imprisonment
Provide false information under an unexplained wealth order
Unlimited fine and/or 2 years imprisonment
Notify the NCA if a joint disclosure report is not filed on time
Unlimited fine and/or 2 years imprisonment
Obstruct an immigration officer
Fine up to £1,000 and/or 51 weeks (England & Wales), 12 months (Scotland), 1 month (Northern Ireland) imprisonment
Deliver property and documents as ordered under an interim receiving order
Unlimited fine
Commit a lifestyle offence (e.g., drug trafficking, money laundering)
Unlimited fine
Fail to comply with a customer information order or give false information
Unlimited fine
Fail to disclose money‑laundering information as nominated officer
Unlimited fine
Provide statement and documents under an Unexplained Wealth Order
Unlimited fine
Fail to disclose money‑laundering information as a nominated officer
Penalty applies
Fail to disclose money‑laundering information in a regulated sector
Penalty applies
Supply, produce or import controlled drugs
Penalty applies
Practical guidance
Our guides explain how to comply with the requirements above.
UK sanctions compliance for businesses
How to comply with UK financial sanctions. Includes OFSI enforcement powers, asset freeze requirements, screening obligations, breach reporting, licensing procedures, …
Anti-money laundering (AML) compliance
Essential guide to AML compliance for UK businesses under the Money Laundering Regulations 2017.
Managing export business risk and corruption
UK Bribery Act compliance, due diligence on overseas buyers, political risk assessment, and IP protection abroad.
Sections and provisions
456 classified provisions from this legislation.
Duties 57
- s.11 Time for payment of which relates
- s.12 Interest on unpaid sums amount required
- s.15 Effect of postponement
- s.22 Order made: reconsideration of available amount
- s.26 Information
- s.47Q Hearsay evidence in detention order proceedings Evidence
- s.47I Report by appointed person on exercise of powers
- s.54 Enforcement receivers
- s.67D Proceeds of realisation
- s.97 Effect of order on court’s other powers
- s.101 Statement of information
- s.102 Accused’s response to statement of information matters he proposes
- s.107 Order made: reconsideration of available amount
- s.108 Inadequacy of available amount: variation of order
- s.113 Variation of order
- s.127I Report by appointed person on exercise of powers
- s.127H Exercise of powers without judicial approval remuneration or expenses
- s.129 Management administrators: discharge
- s.130 Application of sums by enforcement administrator
- s.161 Time for payment of which relates
- ... and 37 more duties
Offences and penalties 23
- Schedule 2 Lifestyle offences: England and Wales
- Schedule 5 Lifestyle offences: Northern Ireland
- s.38 Provisions about imprisonment or detention
- s.39 Reconsideration etc: variation of prison term
- s.187 Provisions about imprisonment or detention
- s.188 Reconsideration etc: variation of prison term
- s.223 Criminal lifestyle
- s.327 Concealing etc
- s.328 Arrangements
- s.329 Acquisition, use and possession
- s.330 Failure to disclose: regulated sector
- s.331 Failure to disclose: nominated officers in the regulated sector
- s.332 Failure to disclose: other nominated officers
- s.333A Tipping off: regulated sector
- s.334 Penalties
- s.342 Offences of prejudicing investigation
- s.356A Certain offences in relation to execution of search and seizure warrants
- s.359 Offences
- s.366 Offences
- s.393 Offences
- ... and 3 more offences and penalties
Powers 107
- Schedule 7 Powers of trustee for civil recovery
- s.13A Orders for securing compliance with confiscation order
- s.25 Small amount outstanding: discharge of order
- s.25A Recovery from estate of deceased defendant impractical: discharge of order
- s.35 Enforcement as fines
- s.47E Search power: people
- s.47C Power to seize property
- s.58 Restraint orders
- s.67AA Destruction of seized cryptoassets
- s.67ZA Cryptoassets
- s.67B Costs of storage and realisation
- s.67A Seized personal property
- s.67ZB Meaning of “UK-connected cryptoasset service provider”
- s.70 Committal by magistrates’ court
- s.75 Criminal lifestyle
- s.85 Proceedings
- s.89 Procedure on appeal to the Court of Appeal
- s.90 Procedure on appeal to the Supreme Court
- s.97B Orders for securing compliance with confiscation order
- s.123 Inhibition of property affected by order
- ... and 87 more powers
Definitions 75
- s.3 Accreditation and training
- Schedule 9 Regulated sector and supervisory authorities
- s.17 Defendant’s response to statement of information
- s.18A Provision of information as to defendant's interest in property
- s.40 Conditions for exercise of powers
- s.47D Search power: premises
- s.47A Sections 47B to 47S: meaning of “appropriate officer” appropriate officer
- s.47G “Appropriate approval”
- s.47R Release of property
- s.47K Further detention pending making of restraint order
- s.68 Applications and appeals
- s.77 Tainted gifts
- s.87 Confiscation orders
- s.93 Recoverable amount
- s.95 Available amount
- s.97A Application of receipts: restitution order and victim surcharge
- s.103 Provision of information by accused
- s.117 Interest on unpaid sums
- s.119 Conditions for exercise of powers
- s.127D Search power: premises
- ... and 55 more definitions
Exemptions 79
- Schedule 6 Powers of interim receiver or administrator
- Schedule 10 Tax
- s.10A Determination of extent of defendant's interest in property
- s.19 No order made: reconsideration of case
- s.21 Order made: reconsideration of benefit
- s.27 Defendant convicted or committed
- s.28 Defendant neither convicted nor acquitted
- s.30 Discharge of order
- s.31 Appeal by prosecutor etc ...
- s.42 Application, discharge and variation
- s.49 Powers
- s.51 Powers
- s.55 Sums received by designated officer
- s.61 Protection
- s.64 Management receivers: discharge
- s.69 Powers of court and receiver etc.
- s.94 Accused’s benefit
- s.98 Disposal of family home
- s.104 No order made: reconsideration of case
- s.105 No order made: reconsideration of benefit
- ... and 59 more exemptions