Overview

Asset Recovery

Get to know us better by taking a look at an overview of the global asset recovery market.

SIZE OF THE GLOBAL MARKET

Smarter Asset Recovery

We think public solutions have proved inadequate remedy for the global crisis.
So we've created a private sector solution to fix a significant public problem.

Size of Market

According to the World Bank, corrupt leaders of poor countries steal as much as US $40bn in stolen assets and foreign assets each year, now held in breach of contracts they stash overseas. And, in 2011 the United Nations Office for Drugs and Crime (UNODC) estimated that the global detection rate of elicit funds by law enforcement is as low as one-percent of criminal proceeds. And, the seizure rate is possibly as low as 0.2 percent. Once removed, funds are extremely difficult to recover. And, a lot of these funds come in to or through the UK.

Substantial UK Problem

The UK has unique strengths in asset recovery regime and its record of recovering 'dirty money' compares well to a lot of other regions. It has been estimated that between £23 billion and £57 billion of dirty money is laundered in the UK every year. Against this threat, the UK National Audit Office (NAO) estimates that only 26 pence in every £100 is confiscated from organised criminals. While it is not possible to determine what proportion of this figure represents financial proceeds specifically from illegal activities or foreign assets in breach of contracts, concerns remain that the sums are substantial; Embracing both looted state assets and assets in breach of binding contracts.

International Reputation

Transparency International UK believes that the UK's institutions and organisations have been used as repositories or intermediaries for stolen funds and foreign assets in breach of contracts from several countries: including Bangladesh, Kenya, Nigeria, Pakistan and Zambia. Like many other countries, the UK operates within the framework of its obligations under international arrangements and conventions towhich it is a party; Notably the Financial Action Task Force (FATF) and the UN Convention against Corruption (UNCAC). However, when the proceeds of corruption are laundered through the UK it presents a criminal reputational and national security risk, as well as a great injustice for the countries from which the funds have been stolen. The UK has an added responsibility arising from its unique status. London's international reputation has often attracted launderers and loan and contract defaulters who find it easier to mingle their dirty funds in a larger centre with substantial flows of legitimate money.

High Volume of Foreign Capital

The UK is able to prevent money laundering and detect, seize and recover those stolen assets and assets in breach of contracts that enter the country. Due to London's status as a safe haven and the resultant high volume of foreign capital that comes in or through the UK, she has a unique opportunity to take a pro-active leadership role in the detection and recovery of the proceeds of crime and contract breaches laundered through this jurisdiction.

No Success, No Fee

Efficiency means speed, innovation and continuous improvement using cutting edge technologies.

We operate on a 'no win, no fee' basis, meaning our clients only pay for a positive outcome.

Corrupt Leaders of Poor Countries

According to the World Bank, corrupt leaders of poor countries steel as much as £30.43 billion each year in stolen assets and foreign assets in breach of contracts they have stashed overseas.

Recovery Rate as Low as 0.2 percent

In 2011, the United Nations Office for Drugs and Crime (UNDOC) estimated that the global rate of detection of illicit funds or foreign assets in breach of contracts by law enforcement is as low as one-percent for criminal proceeds, and the seizure rate is possibly 0.2%. Once removed, funds are extremely difficult to recover, and a lot of these funds come into, or through the UK.

26p in Every £100 Recovered

It has been estimated that £23 billion to £57 billion of dirty money is laundered in the UK each year. Against this threat, the UK National Audit Office (NAO) estimates that only 26p in every £100 is confiscated from organised criminals and loan defaulters.

Contracts From Several Countries

ARNUK believes that the UK's institutions and organisations have been used as repositories or intermediaries for stolen funds and foreign assets in breach of contracts from several countries, including Bangladesh, Kenya, Nigeria, Pakistan and Zambia.

NIGERIA

The current size of Nigeria's Toxic market is estimated to be worth over N2 trillion (£6.56 billion)

2009

The Soludo Estimate

According to Charles Soludo (former governor of the central Bank of Nigeria), the toxic assets of eight banks out of twenty-four banks amounted to about N336 billion (£1.1 billion) which rose to N400 billion (£1.31 billion) after CBN had included the margin of errors.

[Source: The Nation]

2012

The AMCON Estimate

According to a source at The ASSET MANAGEMENT CORPORATION OF NIGERIA (AMCON), the organisation was not able to resolve over N5.1 trillion (£16.7 billion) toxic assets it acquired from the banking industry between 2010 and 2012. [Source: The Vanguard]

2016

In Just 10 Banks

The board of AMCON stated that it is confronted with N3 trillion (£9.83 billion) in toxic assets from 10 out of the 24 banks in the country.

[Source: The Vanguard]

2017

AMCON 2

The Central Bank of Nigeria (CBN) announced an exposure draft framework for the creation of the second version of AMCON, known as AMCON 2, to tackle over N2 trillion (£6.56 billion) of non-performing loans in the banking sector. [Source: The Vanguard]

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