Receivership
There are two distinct functions performed by receivers under PoCA. Management receivers appointed pursuant to s.48 and s.49 PoCA 2002 manage property pending the outcome of an investigation/prosecution. Enforcement receivers appointed pursuant to s.50 and s.51 PoCA 2002 dispose of property to satisfy outstanding confiscation orders.
Management Receivership
A management receiver can be appointed by the Crown Court in circumstances where a restraint order has been made under s.40 PoCA 2002; however, only the applicant for a restraint order can apply to the Crown Court to for appointment of a management receiver.
The powers the Crown Court can by order confer on management receivers are extensive and are set out at s.49 PoCA 2002. The main distinction between the powers that can be conferred on a management receiver and those that can be conferred on an enforcement receiver is the inclusion, for enforcement receivers, of the power to realise property other than to cover their own remuneration or expenses.
Enforcement Receivership
An enforcement receiver can be appointed by order of the Crown Court, on the application of a prosecutor, if a confiscation order is made and is not satisfied or subject to appeal.
The powers the Crown Court can by order confer on enforcement receivers are extensive and are set out at s.51 PoCA 2002.
In some circumstances, it is possible to persuade prosecutors to agree a suspended enforcement receivership order to allow defendants some further time to realise assets and make payment of the confiscation order in full.
Third parties
PoCA 2002 incorporates key protections for interested third parties. Specifically, in relation to management and enforcement receivers, the Crown Court cannot confer certain powers unless it give a reasonable opportunity to any person holding an interest to make representations.
However, in the case of enforcement receivers only, the Crown Court is not required to give a reasonable opportunity to any person holding an interest to make representations if the Crown Court made a determination in respect of that persons interest at the original confiscation hearing, unless the person was not given a reasonable opportunity to make representations at or before the original confiscation hearing (and has not appealed), or there would be a serious risk of injustice if the person was bound by the original determination.
Responding to receivership applications
The key to dealing with receivership applications is early and ongoing expert intervention. In practical terms, this involves deploying a multi-disciplinary team of litigators and consultants including investigators, specialist barristers, forensic accountants and industry experts. A proactive approach is key.
How can we help?
We can deploy a multi-disciplinary team of expert criminal and civil lawyers to assist in tempering the excesses of prosecutors, restricting the powers conferred on receivers, seeking suspension of receivership orders and safeguarding the interests of third parties.
We benefit from a wealth of in-house expertise in several disciplines including criminal defence, commercial disputes, compliance and regulatory. We also enjoy enduring relationships with leading consultants including investigators, specialist barristers, forensic accountants and industry experts.
Free Initial Discussion
If you are a defendant who has received notice of a receivership application or are an interested third party who wishes to assert an interest at the enforcement stage, then it is critical that you contact us as soon as possible.
Contact our lawyers by calling us on 0203 987 0222 or complete our enquiry form and one of our team will call you back.
