When a restraint order lands, the impact is immediate. Accounts are frozen. Businesses grind to a halt. Reputations are put at risk, all before a single charge has been brought. The client worked in the construction and property development sector and found themselves in exactly that position, facing a wide-ranging pre-charge restraint order obtained by the National Crime Agency ("NCA") at the earliest stages of a financial crime investigation.
Through a combination of urgent and strategic, forensic financial analysis, and direct engagement with the prosecution, a removal of significant portions of the order was secured and, ultimately, its full discharge, without the client ever being charged with any offence.
Background
The client was a sole trader with interests in construction and property development. Without warning, the NCA obtained a restraint order ex parte, meaning they had no opportunity to respond before the order was made, under s.41 of the Proceeds of Crime Act 2002. The order was drawn in exceptionally broad terms, covering and restricting:
The consequences were felt immediately. The client could not pay their mortgage, meet household bills, or access money for everyday living. Ongoing construction contracts could not be completed. Suppliers went unpaid. Employees faced real uncertainty. Furthermore, because the order initially contained no provision for legal costs, the client faced the very real prospect of being unable to fund their own defence; a situation that strikes at the very heart of the right to a fair legal process.
On top of the financial freeze, word of the order reached lenders and business partners, causing serious damage to professional relationships that had taken years to build.
The client sought legal assistance soon after the order was served, and work began immediately.
Key Actions Taken and Approach
Being proactive and understanding the tactical and strategic implications from the outset was key in order to help secure immediate financial relief. When a restraint order is sought, if it is obtained and then removed or watered down, this can often result in a better outcome for a Defendant, acting as a potential litmus test for the overall case.
The first priority was restoring a degree of financial stability for the client and their family. Within a short time of instruction, an urgent application was made to the Crown Court for a variation of the order to include a reasonable living expenses allowance and a legal costs provision. A detailed schedule of the client's genuine financial needs was prepared; it was important to resist the prosecution's attempts to limit the allowance to a figure that did not reflect reality. The variation was granted, giving the client access to funds for essential living costs and, critically, the means to fund their legal defence.
Taking the Prosecution's Case Apart
Undertaking a rigorous review of the restraint order and the prosecution's supporting evidence was key.
Transactions that had been characterised as suspicious had clear, documentable explanations and so this was an important focal point.
Assertions made about the client's lifestyle were factually wrong and directly contradicted by the financial records in the client's possession.
A specialist forensic accountant helped to conduct a transaction-by-transaction analysis of the accounts relied upon by the NCA. Their report produced a revised benefit figure substantially lower than the prosecution's calculation, stripping out third-party funds and legitimate business receipts that had been wrongly included. This forensic work became the foundation of everything that followed.
Rather than heading straight to a contested hearing, the NCA’s legal team were informed of the analysis conducted, supported by the forensic report and a carefully organised bundle of contemporaneous documents, contracts, invoices, bank records, and accounts that explained the transactions at the heart of the investigation. This was a deliberate strategic choice. It was important that the prosecution understood, before any hearing, that the defence case was evidentially robust, and that continuing to defend the order in its current form would be difficult.
When the NCA failed to agree adequate variations by consent, a formal application to the Crown Court under s.42 of the Proceeds of Crime Act 2002 was necessary. Written submissions addressed the disproportionate scope of the order, the harm being caused to third parties, the flaws in the benefit calculation, and the absence of any evidence that the client posed a genuine dissipation risk. A detailed witness statement from the client addressed every transaction the prosecution had relied upon.
The prosecution's position shifted. Through substantive correspondence and discussions in the lead up to the hearing, we persuaded the NCA that:
The revised benefit figure left no proper legal basis for restraining significant portions of the original assets.
Several of the so-called suspicious transactions were explained by documents already within the NCA's own investigation file.
The prosecution agreed to vary the order without a fully contested hearing.
Outcome
The total value of the client's restrained personal assets was reduced materially, brought into line with the revised forensic benefit figure rather than the prosecution's original and inflated calculation.
The correspondence obtained from the NCA confirming the narrowed scope of the investigation also enabled proactive representations to be made to lenders and business partners on the client's behalf helping to begin the process of reputational recovery.
As the investigation continued and no charge was brought within a reasonable period and an application for full discharge of the order was made which was ultimately successful.
Key Takeaways
What the case demonstrates about how we work — and what we can do for you.
We will act quickly - in restraint order cases, speed matters to secure financial relief.
Delay is not an option - when your accounts are frozen, and your business is at risk.
We will challenge the evidence - the prosecution's case is not taken at face value. We will examine benefit calculations, scrutinise the methodology behind them, and use expert forensic evidence where necessary to expose weaknesses that can fundamentally change the picture.
We think strategically - direct engagement with the prosecution, backed by strong evidence achieved more, much faster, than heading straight to a contested hearing. We will always consider the most effective route to the best result.
Restraint orders can be made at any time during a financial crime investigation. If you or your business has been served with one, or if you believe you may be under investigation, contact us now for a confidential discussion.
Please note - case studies published are fully representative of the work undertaken and advice given, but certain factual aspects may have been altered to ensure complete confidentiality.
