TNAG-1430-FCO40-1913-Hong-Kong-Independent-Commission-Against-Corruption-(ICAC)-1985 — Page 49

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8.

These proposals apply to England and Wales; they do not extend to Scotland. Proposals are already before Parliament in the Law Reform (Miscellaneous Provisions) (Scotland) Bill which, if enacted, would require a court in Scotland to impose a fine (unless this is inappropriate) on a person sentenced to imprisonment for certain drug production and trafficking offences, having regard to any profits likely to have been

made from the crime. The Bill also provides for imprisonment in default

of payment of such a fine to be served consecutively upon any related sentence of imprisonment and for increased periods of imprisonment for

non-payment of fines.

9. The Secretary of State for Scotland has also requested the Scottish Law Commission to consider and to advise him on what further provision

should be made to enable courts in Scotland to order forfeiture of the

proceeds of criminal activity generally and to enable such proceeds to

be traced and seized. This request recognises the difference between

Scottish and English law, and it is the Government's intention to introduce further legislation for Scotland in the light of the Commission's advice.

10. Northern Ireland does not have a serious drugs problem, but it is

intended that similar measures will be introduced there to conform with

national policy. The Bill will also make provision for orders made by English and Welsh courts against offenders who hold assets in Scotland

or Northern Ireland to be enforceable against those assets.

THE NEW OFFENCE

11.

The new offence we propose to create is aimed at those who assist the trafficker and benefit from his crimes by laundering the proceeds. The offence would consist in possessing the proceeds of drug trafficking,

or participating in the retention, removal, disposal or realisation of

such proceeds, knowing or having reason to believe that they represented

the proceeds of drug trafficking. To this point the new offence would

be broadly comparable to the existing offence of handling stolen goods.

Additionally, however, we propose that where it is proved that the

defendant knew or had reason to suspect that the person from whom he

acquired any property was engaged in drug trafficking, he should be

presumed to know or suspect that it represented the proceeds of drug trafficking unless he proves to the contrary.