Specialist London Solicitors in Hawala Banking cases
At MFI Law Limited we have the expertise in representing clients charged with fraud cases. Our London Solicitors are available to represent clients at the London Police Stations, Magistrates' and Crown Courts throughout the country.
Hawala also known as ‘hundi’, is an informal value transfer system based on the performance and huge network of money brokers, primarily located in the Middle East, Africa, and the Indian subcontinent, operating outside of, or parallel to, traditional banking, financial channels, and remittance systems. It is asserted that Hawala can be used to facilitate money laundering, avoid taxation, and move wealth anonymously.
A properly established and regulated money transfer business must register with the HMRC so that it can comply with money laundering regulations.
The term money service business has a special meaning under the Money Laundering Regulations 2007. Your business is a money service business if it:
- Acts as a bureau de change.
- Transmits money, or any representation on money in any way.
- Cashes cheques that are payable to your customers.
There are some exceptions that apply.
In the UK, Hawala banking is not illegal. However, the money transfer business must comply with the regulations in England and Wales.