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Re: Current Account Suspended.
If the bank have a suspicion that the customer may be engaged in "money laundering" (which has a very wide definition - basically if any monies in the account have been derived, directly or indirectly, from crime of any description then the customer will be engaged in money laundering) then the local branch will have filed a report internally with the bank's Money Laundering Reporting Officer and frozen the account.
The MLRO will then (if he agrees that there is a suspicion) file a report with SOCA. The account will remain frozen until the earliest of (i) SOCA reply with consent to unfreeze the account, (ii) seven working days expire commencing with the day after the day the report was filed with SOCA and SOCA have not responded to the report, or (iii) the bank satisfies itself that it no longer has grounds for its suspicion.
The bank will not tell its customer that it has filed a report of a suspicion of money laundering because that could amount to 'tipping off'.
So the customer will simply be fobbed off with the "we can't do it at present" line and no further explanation.
In practice SOCA normally respond to reports within 3 working days (often within a day or two) so keep checking with the bank whether the problem has been resolved.
The bank MIGHT confirm to the customer's solicitor that they are awaiting a response from SOCA.
It MIGHT help to give the bank a full explanation of the activity on the bank account and the legitimate reasons for drawing large amounts of cash. The bank might then decide they are no longer suspicious and unfreeze the account.
But the risk is that no-one at the bank will want to unfreeze the account until a response is received from SOCA.
If the bank have a suspicion that the customer may be engaged in "money laundering" (which has a very wide definition - basically if any monies in the account have been derived, directly or indirectly, from crime of any description then the customer will be engaged in money laundering) then the local branch will have filed a report internally with the bank's Money Laundering Reporting Officer and frozen the account.
The MLRO will then (if he agrees that there is a suspicion) file a report with SOCA. The account will remain frozen until the earliest of (i) SOCA reply with consent to unfreeze the account, (ii) seven working days expire commencing with the day after the day the report was filed with SOCA and SOCA have not responded to the report, or (iii) the bank satisfies itself that it no longer has grounds for its suspicion.
The bank will not tell its customer that it has filed a report of a suspicion of money laundering because that could amount to 'tipping off'.
So the customer will simply be fobbed off with the "we can't do it at present" line and no further explanation.
In practice SOCA normally respond to reports within 3 working days (often within a day or two) so keep checking with the bank whether the problem has been resolved.
The bank MIGHT confirm to the customer's solicitor that they are awaiting a response from SOCA.
It MIGHT help to give the bank a full explanation of the activity on the bank account and the legitimate reasons for drawing large amounts of cash. The bank might then decide they are no longer suspicious and unfreeze the account.
But the risk is that no-one at the bank will want to unfreeze the account until a response is received from SOCA.
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