How well do we know this customer? Is a question all solicitors and conveyancing providers must be able to answer with confidence following the latest crackdowns by government and the Solicitors Regulation Authority, which have paved the way for an increase in cases and fines for legal misconduct.
On Wednesday, 29 June, the Ministry of Justice announced that the Solicitors Regulation Authority (SRA) would be given new powers to fine rule breakers up to £25,000. The changes mean the SRA can now fine law firms and individual solicitors for a broader range of offences, from lower-level cases, involving inadequate staff training, to those with more serious consequences, including failure to implement the appropriate checks required to uncover signs of money laundering by clients.
Swiftly following the announcement, a solicitor was fined £3,000 by the Solicitors Regulation Authority (SRA) after authorising a payment of nearly £70,000 to a fraudster during a commercial property sale.
“An SRA investigation, regardless of its outcome, can have a devastating impact on both a firm and individual’s reputations,” commented Lynne Lister, Managing Director at X-Press. “We are incredibly proud to work alongside the UK’s world leading legal sector, but even the most diligent of solicitors and conveyancing providers can now find themselves under investigation, if they fail to implement appropriate checks on transactions and individuals.
“We are urging all our offices to ensure their clients understand the range of tools we offer to guarantee the complete fulfilment of due diligence and compliance requirements,” added Lynne. “By selecting these easy-to-use online products our clients can swiftly protect themselves from misconduct, while also ensuring the retention of their sector’s international reputation for the highest standards of probity.”
Helping clients remain compliant without increasing their workloads is central to our ethos at X-Press Legal Services. The following due diligence and compliance products are all available to order through ICOS, our online client hub:
ID Checks – UK and International
A fast, convenient and highly secure way to verify a client’s ID and complete checks on their smartphone in a matter of minutes. Fulfils all government regulatory requirements around digital ID verification. The International ID check allows you to validate the documentation (including passports and most EU ID cards) of any individual, regardless of nationality.
Proof and Source of Funds Checks
Quickly collates the vital bank information you need to verify the presence and provenance of funds. Proven evidence trail of SOF for SRA compliance (some SOF checks include a free refresh). Regulated by the FCA in relation to Open Banking.
Anti-money Laundering Checks
Fully compliant UK identity and address verification, with in-built mortality, departure, and optional passport, telephone, driving licence and NI number checking. This check can be used for people of any nationality, as long as they are living in the UK.
PEPs and Sanctions Checks
PEPs and Sanctions checks with ongoing monitoring. A notification is triggered should a change in status occur – checking OFAC, EU and HMT Sanctions lists and PEP lists.
Customer Bank Account Checker
Verifies the bank details to ensure that you are sending or receiving funds to and from the right client bank account.
Fast, convenient and fully compliant, all the above ensure our clients meet their expected professional standards through every step of the conveyancing process.
For further details on any of these products please contact your local X-Press Legal Services office.