Conveyancing firm fined £6,321 for failing to implement proper AML controls and risk assessments
Solicitors Regulation Authority has fined Adams Hetherington £6,321 after identifying long-running anti-money laundering (AML) compliance breaches.
The sanction was agreed through a regulatory settlement and published on 5 May, following an investigation triggered by the SRA’s AML Proactive Supervision team.
The regulator found that, prior to September 2025, the firm failed to maintain records of client and matter risk assessments as required under Regulation 28 of the Money Laundering Regulations 2017. In addition, between June 2017 and May 2024, it did not have compliant policies, controls and procedures (PCPs) in place to mitigate money laundering risk, breaching Regulation 19.
According to the SRA, the failures meant the firm could not demonstrate that its AML measures were appropriate, despite carrying out significant volumes of conveyancing work, a sector regarded as high risk.
The firm admitted the breaches, which also amounted to failures under both the 2011 and 2019 SRA Codes of Conduct and Principles, including obligations to maintain public trust and operate effective governance systems.
In assessing the penalty, the SRA placed the misconduct in Band C of its fining guidance, with a seriousness score of three and a harm score of four. While there was no evidence of consumer loss, the regulator said the absence of key AML controls created the potential for the firm to be used to facilitate illicit transactions.
The initial penalty of £7,023 was reduced to £6,321 to reflect mitigation, including the firm’s cooperation, remedial steps to introduce compliant PCPs, and training for staff. The firm has also begun completing risk assessments for all in-scope matters.
The firm must also pay £600 in investigation costs.