Financial Times: How did London become the “capital of dirty money” in the world?

Abu Dhabi (Etihad)

A report by the British newspaper “Financial Times” indicated that it is indisputable that London is the capital of dirty money in the world, and according to the report: “For many decades now, London has received corrupt and criminals from all over the world.” There are key aspects, legal and economic, that make London an ideal place to bring in dirty money from all over the world. The British Empire conquered several overseas sites, the British Virgin Islands and the Channel Islands. It needed a new goal, and that goal was the financial secrecy of the Shell companies, which were camouflage companies, or a way for people to navigate the world economy without leaving a fingerprint, and the engine of a multi-billion dollar maritime industry teeming with dirty money, and thus corruption became global.
While Britain did, the report says, the Soviet empire collapsed within a few years in the 1990s. To attract the wealth of the Soviet empire, the oligarchy “business elite” emerged, who hurried around the world and met in London, the center of dirty money.
In a statement included in the report, Margaret Hodge, a member of the British Parliament for the Labor Party, said the assets came with a “major transformation” during Margaret Thatcher’s era when she began liberalizing the financial sector and then continued under the “Labor government”. with David Cameron.
Elsewhere, Kate Bewley, legal editor of the Financial Times, says that over the last two decades, the UK has received money of all kinds: law firms, real estate agents and the government. The report also indicated that there are recorded statements from Boris Johnson when he was mayor of London, which encouraged the arrival of money to London. The exchange also welcomed many companies, and they wanted these companies to take the UK and London as their European base, according to Cat Rutter Poli, a writer specializing in UK financial affairs for the Financial Times newspaper.

The report finds that one of the reasons why Britain operated in this is that the ruling elite in Britain believes that it should not stand in the way of companies and business at any cost.
The report notes that once you have the money in London, you can use it essentially as if it were clean. People do not bring this money over land to drug cartels, they put them on the beach to buy homes in Kensington.
The report pointed out that you can own property in the UK through a shell company, and if you already own it through an offshore shell company, you do not have to decide who actually owns that property. Lawyers are ready to advise on these complex transactions, which create an opaque ownership structure for some of our most valuable homes in the UK.
The report contained data, the most important of which are: 84,000 homes in the UK are of unknown owners and there is £ 6.7 billion worth of British real estate bought with suspicious wealth, including £ 1.5 billion in form of 150 titles, bought by foreign persons accused of corruption. We found British property worth £ 830 million owned by individuals through shell companies based in British and overseas territories.
The report concluded that if you want to defend your wealth and reputation, the City of London is the perfect place to come if you want to do so.
Our responsible laws, which are very kind to plaintiffs, make the Supreme Court an ideal place to file your very responsible claims. And the City of London is home to some of the best law firms in the world that can help bring them in. When questions about oligarchy are asked by investigative journalists, including those in economic times, lawyers try to silence them.
The report notes that there is an entire industry based in London, which is represented by the major law firms for reputation management, they oppose the press and television companies in light of the attractiveness of the network of lawyers, accountants, businessmen and corrupt officials holding agreements. We identified 81 law firms, 86 UK banks and a surprisingly 177 UK educational institutions, all of which accepted or transferred dirty money from around the world.
According to the report, the concern lies not only in the way dirty money has been locked into the country, but otherwise dirty money is polluting the public sphere and then our politics.
The report finds that the UK, as a very open financial center, will always be vulnerable to dirty money coming to the country. And it’s really important in this situation to have clear and well-enforced rules, and that’s something Britain does not have.

Big questions have been asked over the years about the UK’s record of law enforcement, and often UK law enforcement authorities simply do better than top lawyers who have worked for corrupt individuals and criminals.
The Anti-Fraud Office, for example, has a budget of £ 50 million a year. Every oligarch earns that much money in less than a week. I really hope the UK Government will make sure that the National Crime Agency, the Serious Fraud Office and others have the strength to combat this practice. We had to go to war to highlight these facts.
There are a number of legislative changes that have been talked about for a really long time and the government has delayed and failed to implement these things over a very long period of time and that is what we have now.
“David Cameron promised me in 2015-2016 that he would put forward a bill that would enable us to have a public registration of limited ownership of real estate acquired through foreign entities,” said MP Margaret Hodge.
The report draws attention to the fact that the bill on economic crime, which was recently approved by the government, is a landmark legislation that gives a long-delayed, promised property right. An offshore company buying property in the UK is required to tell the property register who actually owns and controls these businesses.

The beginning of the end
Hopefully, according to the report, this will be the beginning of the end for people hiding behind yachts. Everyone will have to state that they are the real owner of anything, whether it is a plane, a yacht or a house.
The Economic Crime Bill makes it easier to enforce unexplained property orders, and unexplained property orders were a new investigative tool given to law enforcement in 2018. It is a form of court order that forces a person with assets over £ 50,000 to explain how they got their money. The price if it is not reasonable.

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