POCA Success: £110k unfrozen from gold mining company’s business account

Our client, a UK-registered company with valuable concessions to mine gold in west Africa, was referred to us after one of its UK HSBC business accounts was frozen ex parte under Part 5 of the Proceeds of Crime Act 2002

The Metropolitan Police’s Central Specialist Crime team suspected the company was operating a widescale investment fraud after an undisclosed number of customers claimed to have been defrauded between 2020 and 2024. The police opened a concurrent criminal investigation. We assisted the company director in his voluntary PACE interview and provided ongoing Account Freezing Order (AFO) advice to the company.

In a comprehensive statement, we explained that far from being a fraudulent criminal scheme, the company had entered contractual agreements with customers who were purchasing gold which the company was projected to mine in the future (‘gold forward contracts’).  We provided irrefutable evidence that established the company’s extensive, legitimate gold mining activities, including an in-country report and certificates from the relevant government agency.

We detailed the very unfortunate major interruptions to the business since 2020, which included COVID-19, that had led to mining operations being suspended for periods. Customers though were provided with regular written updates and the overwhelming majority remained loyal, including where repayment schedules had to be revised.

In September 2024, the police confirmed that it was taking ‘no further action’ against the company director and was not applying to extend the AFO or seek the forfeiture of the credit balance held in the UK account. The client and its senior management team are naturally delighted that the criminal investigation and civil recovery proceedings have concluded.

David Bloom of Sonn Macmillan Walker instructed Penelope Small of 33 Chancery Lane Chambers