Lloyd's Maritime and Commercial Law Quarterly
LEGAL PRIVILEGE AND MANDATORY DISCLOSURE UNDER THE PROCEEDS OF CRIME ACT 2002
Bowman v. Fels
Are lawyers who advise or represent clients in transactions or litigation involving property that may have derived from criminal activity themselves at risk of prosecution for their indirect assistance to such money laundering? This question was posed, and partially answered, by the Court of Appeal in Bowman
v. Fels
1
in considering the position of a solicitor representing a claimant in a constructive trust case, the alleged trust property being a house that had been the parties’ joint residence but was registered in the defendant’s name alone. It appeared that the defendant might have evaded some tax liability by falsely claiming that expenditure on the house was in connection with his business.
Although of crucial importance to lawyers, the construction of the relevant sections of the Proceeds of Crime Act 2002 (“POCA 2002”) in respect of its application to lawyers and interaction with legal professional privilege (“LPP”) had only been considered once