Money laundering in the UK by offshore companies
A recent BBC Panorama investigation has found that a Ukrainian crime gang used offshore firms in British tax havens to secretly invest millions of pounds in the United Kingdom.
The gang and family members bought high end property in central London locations.
The daughter of a man dubbed the “Don of Odessa” is the registered owner of three homes in one premium apartment block.
The money laundering information has come to light as a result of the Paradise Papers data breach.
The gang were from Odessa and made money in the oil industry.
The gang kept their names off public records by using offshore companies registered in the British Virgin Islands, where it was possible to be an anonymous owner.
A London accountant working in Finchley, set up and administered the offshore companies. The accountant is married to the sister of the gang boss.
Transparency International, which assisted in the BBC investigation, claims that it is easy for criminals to launder money into the UK.
The United Kingdom government possesses powers which include unexplained wealth and proceeds of crime orders, which allow assets to be seized where the source of funds is suspicious.
These orders could potentially be used to seize some of the London flats linked to the Ukrainian gang.