The Proceeds of Crime Act 2002 is an Act of legislation of the UK Parliament which provides powers for the confiscation or civil recovery of the proceeds of crime and contains the principal anti money laundering legislation in the UK.
The Proceeds of Crime Act 2002 (POCA) deals with the process of recovering and freezing assets that were gained through unlawful conduct. Confiscation of proceeds of crime used to occur after a conviction had taken place, but the 2002 Act altered previous legislation so that assets could be recovered prior to conviction (such as cash seizure and domestic recovery) to minimise criminals hiding, transferring, or otherwise stashing their money and assets.
Therefore, the primary aim of POCA is to reduce the number of loop-holes in the financial system and prevent criminals from profiting from their actions. It acts as both a penalty and a deterrent for unlawful conduct since assets can be seized and held pending conviction. The Act's aim was to strike at the heart of the main focus for criminals, namely money and assets.
