Gregor Kleinknecht comments on the national crackdown on money laundering and fraud, and how the new regulations could cripple the small art market in The Times

  • July 26, 2021
  • By Gregor Kleinknecht, Partner

Read the full article published in The Times here.

Caps are being put on the amount that bank customers can transfer online amid a national crackdown on money laundering and fraud.

Banks are under pressure to clamp down on money laundering after warnings from the Financial Conduct Authority (FCA), as it is feared that criminals are using ordinary bank accounts to steal money through fraud and by pretending to be cryptocurrency traders.

Galleries, dealers and auction houses must check the identities of people who buy and sell through them or face prosecution, in a move to prevent money laundering in the art world.

British art market experts have suggested that the new regulations could cripple small art dealerships because of the logistics involved.

“It’s relatively easy for the big auction houses such as Sotheby’s or Christie’s, which have big compliance departments, to deal with these regulations, but it is difficult to cope with that extra layer of bureaucracy if you are small,” said Gregor Kleinknecht, a specialist in art and cultural heritage law at Hunters law firm. “The US market does not have this requirement yet — that’s an added complication.”

Related News

Sep 03, 2021
Gregor Kleinknecht discusses NFTs in the London Art Week Summer 2021 catalogue
Jul 22, 2021
Hunters’ success in the Chambers HNW 2021 Guide
May 12, 2021
Anastassia Dimmek comments on investing in NFTs and what UHNW clients should consider in Citywealth
Jan 25, 2021
Gregor Kleinknecht and Petra Warrington contribute to the first edition of The Art Law Review
Dec 10, 2020
Gregor Kleinknecht discusses lessons learned about buying and selling art during a global pandemic for London Art Week
Dec 03, 2020
Petra Warrington contributes to the International Bar Association’s Art law: Restrictions on the export of cultural property and artwork handbook
Jul 07, 2020
Gregor Kleinknecht appointed as Chairman of Professional Advisors to the International Art Market’s Board
Jun 25, 2020
Petra Warrington to participate in a panel discussion hosted by London Art Week
Jun 24, 2020
Gregor Kleinknecht and Petra Warrington highlight top ten tips for buying art, as part of London Art Week’s newsletter
May 05, 2020
Petra Warrington discusses how to protect your business when holding online auctions in The Art Newspaper

© Hunters Law LLP 2021 | Privacy NoticeLegal & Regulatory | Cookies Policy | Complaints Procedure.

Hunters Law LLP is authorised and regulated by the Solicitors Regulation Authority (number 657218)