A FIRM of solicitors has been fined following an investigation by the Solicitors Regulatory Authority (SRA) into money laundering and terrorist financing risks.

Goad & Butcher, of Market Place, Settle, has been fined and conditions imposed on its authorisation for failing to have in place, since June 26, 2017, a documented and compliant 'firm-wide risk assessment' or compliant policies, controls and procedures contrary to the Money Laundering, Terrorist Financing and Transfer of Funds, Regulations 2017 (MLRs 2017).

The SRA found that since June 26, 2017, Goad & Butcher had failed to have in place a documented and compliant FWRA and failed to have sufficient regard for the SRA’s warning notice on firm-wide risk assessments dated 7 May 2019 (updated on November 25, 2019).

From 26 June 2017 onwards, Goad & Butcher failed to have in place compliant anti-money laundering (AML) policies, controls and procedures (PCPs) to mitigate and effectively manage the risks of money laundering and terrorist financing, pursuant to Regulation 19 of the MLRs 2017.

The report said: "Goad & Butcher was directed to pay a financial penalty of £5,000 and ordered to pay costs of £600. This was because Goad & Butcher’s conduct was serious by reference to the following factors: Its conduct was a wilful breach of its regulatory obligations which has persisted for more than five years. It was responsible for its own conduct which was serious and had the potential to cause significant harm to the public interest and to public confidence in the legal profession."

Conditions imposed on Goad & Butcher’s authorisation: to produce - within a month - a revised and compliant FWRA; to update the firm’s AML PCPs to ensure these are compliant with Regulation 19 of the MLRs 2017.

The SRA repot said conditions were necessary because 'the long standing and persistent nature of Goad & Butcher’s failure to comply with the MLRs 2017 indicated that its breaches related to systemic issues within the firm. Its conduct is likely to be repeated in the absence of conditions'.

Richard Bentley, on behalf of Goad and Butcher said: "In accordance with its established practice the Solicitors Regulatory Authority has conducted a routine investigation into the Anti -Money Laundering policies and procedures of Goad and Butcher Solicitors Settle.

"We are pleased to confirm that the SRA found no issues with G&B's conduct of client matters or client funds and that G&B has worked with the SRA to document compliant AML policies and procedures.

"As a result the temporary conditions imposed by the SRA on G & B's authorisation requiring such documentation are being removed."