Property acquired through criminal activity could be seized by a new government agency.
The Assets Recovery Agency (ARA), which started work last Monday, has powers under the 2002 Proceeds of Crime Act to seize assets if there are “reasonable grounds” to believe they have come from criminal activity.
Home Secretary David Blunkett said he hoped the ARA would recover up to £60m by the end of 2004-05.
A spokesman for ARA said: “Property will be very much in our sights.
“The ARA will first investigate whether a criminal prosecution is possible. If not, it will seek civil confiscation proceedings and failing that, will look at taxation issues.”
The spokesman said the ARA would offer opportunities for property professionals:
“We will operate through an array of receivers to dispose of assets. But properties may need to be managed for some time.”
The government agency is taking 29,000 sq ft (2,694 sq m) at Goldman Sachs’ Procession House, EC4.
Donaldsons is advising the ARA, and Farebrother, FPDSavills and Jones Lang LaSalle are advising Goldman Sachs.
References: EGi News 03/03/03
