Following increased anxieties that more unscrupulous criminals were using British property to launder their illicit funds, the National Crime Agency (NCA) have been given increased powers to question suspicious property owners, that have property in excess of £50,000, as to how they were able to afford the property.
Additionally, the NCA have the power to seize the property if they suspect it was ascertained using laundered money.
Despite initial anonymity, Zamira Hajiyeva, wife of Jahangir Hajiyev, former chairman of International Bank of Azerbaijan, is the woman being questioned.
In 2016, Jahangir Hajiyev was sentenced to 15 years in prison for defrauding the bank out of almost £2.2 billion.
Subsequently, the NCA suspects that this money was used to fund the £10.5 million property of Mill Ride golf and country club in Ascot through a Guernsey based company. This is in addition to the Knightsbridge property that was purchased through a company in the Virgin Islands.
Suspicions were raised when the NCA investigated Hajiyeva’s earnings and found that his bank duties amassed an annual wage of £54,000. The fact that his net worth was estimated at £55 million in 2011, by Werner Capital, highlights the clear discrepancy.
Donald Toon, Director for Economic Crime at the NCA, said: “The NCA fully supports an open and transparent justice system that helps demonstrate our determination to ensure that the UK is not seen as a soft target for the investment of illicit finance. Where we cannot determine a legitimate source for the funds used to purchase assets and prime property, it is absolutely right that we ask probing questions to uncover their origin.
“Unexplained wealth orders have the potential to significantly reduce the appeal of the UK as a destination for illicit income. They enable the UK to more effectively target the problem of money laundering through prime real estate in London and across the UK, and we will now seek to move further cases to the high court.”
The lawyers of Zamira Hajiyeva, have said: “The decision of the high court upholding the grant of an unexplained wealth order (UWO) against Zamira Hajiyeva does not and should not be taken to imply any wrongdoing, whether on her part or that of her husband.
“The NCA’s case is that the UWO is part of an investigative process, not a criminal procedure, and it does not involve the finding of any criminal offence.
“Mrs Hajiyeva has made clear her intention to engage fully in the judicial process and will present her case to the court as appropriate through her lawyers. She will therefore make no further comment at this time.”
Despite potential appeals of the upcoming months, a failure to explain how the properties were purchased could result in the NCA seizing the properties permanently.
Will these UWOs result in a reduction in property sales using laundered money?
