Transparency International comments on economic crime measures

Transparency International has welcomed that publication of the Economic Crime Bill as an opportunity to be a major boost to Britain’s defences against illicit wealth.  However, there are some things it thinks could be better. It welcomes the creation of the beneficial ownership register such that property cannot be sold unless its proprietor has submitted the required information, it agrees with the definition of beneficial owner and is pleased that it will be an offence to give misleading information, with appropriately severe penalties.  However, it says the 18 month transition/commencement period is far too long and risks massive levels of asset flight, so the Government should take action to stop property being sold before the register takes effect.  Also, it says that all overseas companies that own UK property should be covered, including those that bought before 1999 who would currently be excluded.  It is also concerned that the Bill leaves room for companies to claim they have no beneficial owner. Finally, it wants to see Companies House have necessary powers to introduce verification checks and to query, investigate and remove false information.