Don’t bank on it

Firms can inadvertently provide banking facilities in breach of the rules, as Max Masters and Merete Poulson explain

01 Jul 2020

Within the profession, there is a perceived lack of clarity in respect of the rules surrounding the provision of banking facilities, which can lead to potentially serious ramifications.

The Solicitors Regulation Authority (SRA) stresses the importance of compliance in this area in an attempt to reduce the risks of solicitors aiding money laundering, the avoidance of satisfying insolvency obligations, or concealing assets in disputes.

In the 12 months preceding August 2018, the SRA prosecuted 20 solicitors and three firms; and issued £763,000 in fines in relation to breaches of the banking facilities rule. In a single case, fines have been as high as £500,000.

Although previously prohibited, the 2019 accounts...

Want to read on?

This article is part of our subscription-based access. Please pick one of the options below to continue.
Already registered? Login to access premium content

Single User

  • - 10 issues a year delivered to you
  • - Digital edition of the magazine
  • - Access to premium content
  • - Access to the SJ Archives
  • - Weekly email newsletter
  • - Access to the SJ community online
  • - Advanced search feature
  • - Online support
  • - Access to SJ app- coming soon!
  • - 6 special focuses per year
  • - Special offers on SJ and IICJ events

Corporate User

The Corporate IP Licence is tailored to your firm, making it the most cost effective way for the firm to access Solicitors Journal, and enables the firm to remain compliant with copyright and our Terms and Conditions. This gives you the ability to print and circulate articles within the firm.

To enquire about a Corporate IP Licence for your firm, please contact our Subscriptions Manager on george.miller@solicitorsjournal.com.