11th
Jun 2014
A part of the Queen's speech that had little media coverage was the announcing of new legislation that affects the private rented sector.
Those landlords who think or suspect that their tenants are using the rented properties for criminal activates and do not tell the police will be prosecuted.
The exact phrasing of the new offence is 'Participating in an organised crime group', those landlords found guilty could face up to five years in prison. This does not only apply to landlords it is also for any professional that suspects crime and fails to report it to the police.
When this legislation is passed it will mean that lawyers and other professionals will now have to be candid about any suspected criminal activity that they hear about, and must pass on the information to the police. or face a penal sentence.
The major concern for landlords is that the defence in court of not being aware of what was happening in their property or professional capacity, will be shot down in flames along with a "no questions asked" attitude. The legislation will state that landlords and professionals will be responsible to make themselves aware of all types of criminal activity operated within "their professional environment" otherwise they should expect to face a custodial sentence.
PIMS COMMENT
Richard Merrick says: "There is no exact timetable as to when this law will be passed however all landlords should be always be guarded and have thorough vetting processes"
Merrick adds "presently there is recourse under current legislation - upon a Landlord being convicted a confiscation order can be sought under Proceeds of Crime Act 2002, to take away all the profit/rent they had made for the duration of the tenancy. maybe the new legislation is intended to reduce the burden of proof from wilful/conspired to reasonable belief for the word "suspect" is a very ambiguous level of proof
Drug use in rented properties
Under the Misuse of Drugs Act 1971, a landlord/property manager can receive a maximum of 14 years in prison and/or a fine, if they turn a blind eye and allow the production of controlled drugs to take place in rented accommodation. Under this legislation, there is also the potential for premises to be seized or forfeited.
YOU MUST be able to demonstrate diligence as to who you rented your property to [Under the Misuse of Drugs Act 1971] see
Tenancy Vetting
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