HSBC Frozen business account

jennifer2009

Hi can anyone help me?
My HSBC business bank account was frozen on monday with a large credit balance. This was to be used today to complete on a property purchase, I could loose the deposit. I have staff and suppliers to pay in addition with no access to funds.
HSBC will not take any of my calls or return emails. My business manager says there seems to be a men in black dept within HSBC as they will not talk to him either (allegedly).
Do they suspect money laundering? Why will no one help or talk to us? We cannot run our business. Should I report them to the police as an act of theft? Our solicitor says under the freedom of speech act they need to tell us why??
Anyone come across this before? if so, please help.
Thank you

Tixy

Sounds like they might well have frozen it on suspicion of ML. Its the only reason I can think of that would cause them to take such action and to refuse to talk to you. They'll be wanting to avoid potentially tipping you off if you have been ML.

I'm not actually sure what you can do in the short term though.

ihateyes

Tixy wrote: »

Sounds like they might well have frozen it on suspicion of ML. Its the only reason I can think of that would cause them to take such action and to refuse to talk to you. They'll be wanting to avoid potentially tipping you off if you have been ML.

I'm not actually sure what you can do in the short term though.

Quite correct they wont say anything til they investigate, as it could lead to a tip off.
If your account has all off a sudden been recieving larger than normal payments, then this could be a reason.
They will be looking at the payments, and where they have been coming from.
What you dont want is them to involve the police, as the account would be completely frozen up to and until the investigation was complete.

jennifer2009

Yes we have had some larger payments in over the last month but all legit.
Just no one will allow us to even explain where they have come from.

jonesMUFCforever

I would suggest that you instruct your solicitor to start a claim against the bank should you suffer any losses as a result of the bank's actions as long of course everything is legit.

ihateyes

jonesMUFCforever wrote: »

I would suggest that you instruct your solicitor to start a claim against the bank should you suffer any losses as a result of the bank's actions as long of course everything is legit.

That would be a waste of money..... its a loser straight away....
even if the payment are legitimate in every way, the bank is bound to investigate case where there is possile fraud/money laundering.

If the bank was to think this as happening and didnt act, they would then be implicated as well.

If the police 'suspect' they ask they judge to freeze all your assets to prevent you from 'dumping them', so do you sue the cops as well......???

If the money in this account is 'dirty', and while the bank investigated left it free to use, that gives the customer time, to get the money out and get rid off or flee the country.

The bank has every right to freeze accounts if they suspect something untoward.

jennifer2009

We have other business accounts and my personal account is with them. Non of these have been affected. All our money in is via cheques and out usually by d/d or SO. So all completely traceable.
We are just at a complete loss.

Credit-Crunched

jonesMUFCforever wrote: »

I would suggest that you instruct your solicitor to start a claim against the bank should you suffer any losses as a result of the bank's actions as long of course everything is legit.

Please don't waste your money, banks have a legal obligation to check any suspicion of money laundering. Any action against the bank will be laughed out and cost you even more money.

meer53

Sounds like ML to me too. Just contact HSBC, explain the situation re the property purchase to see if there is anything they can do to help you. They won't discuss the ongoing investigation you'll just have to let them get on with that, but i'd definately let them know your situation.

loveandlight

posted by Credit-Crunched
Please don't waste your money, banks have a legal obligation to check any suspicion of money laundering.

Banks are also under a legal obligation not to abuse their procedures but they clearly do and they do it for their own personal gain that has nothing to do with money laundering (nothing new there).

HSBC used to freeze my money all the time. They used to show it as cleared funds but if I tried to draw against it they wouldn't let me. I complained to my bank manager and he couldn't explain why they were doing it either. He thought they were doing it to force me to open up another account with them and in the end I did just that to stop them from freezing my money. Ever since I opened another account with them, they never froze any of my money again!

pmduk

You need to change your solicitor as well. There is no freedom of speech legislation and if s/he doesn't realise that in cases of suspected money-laundering the bank isn't allowed to alert you of any suspicions it's time for a return to law-school.