The Solicitors Regulation Authority has issued a fine of almost £173,000 after a firm represented a foreign client without doing the required background checks. Taylor Vinters LLP acted for the client, classed as a non-domestic politically exposed person, in a residentially property purchase in 2017.

Money laundering regulations at the time required the firm to seek approval from senior management for establishing a business relationship with such a person, and to take adequate measure to find out the source of their wealth and funds. In addition, monitoring was required as long as the business relationship continued.

The Cambridge-based firm, which has since merged with Mishcon de Reya, did not identity the client as a PEP until two months after the purchase had completed. It had previously given inaccurate information to another firm involved in the transaction when it said the identity of the buyer had been verified.

The firm admitted failing to comply with AML legislation and failing to run its business effectively and in accordance with proper governance principles.