1. ANTI-MONEY LAUNDERING, ETHICS AND PROFESSIONAL JUDGMENT: A TEACHING EXERCISE Clark D. Cunningham Vice-Chair, IBA Academic and Professional Development Committee Director, National Institute for Teaching Ethics and Professionalism (USA) W. Lee Burge Professor of Law & Ethics Georgia State University (Atlanta, USA) cdcunningham@gsu.edu Home Page: http://law.gsu.edu/ccunningham/http://law.gsu.edu/ccunningham/

2. Teaching Exercise Developed By Clark Cunningham Emma Oettinger, Anti-Money Laundering Policy Officer, Law Society of England & Wales Nigel Duncan, Professor of Legal Education, The City Law School, City University London Produced with the assistance of Freshfields Bruckhaus Deringer 2

3. The Videos Roles: – –Nigel Grayson, Solicitor, partner in a small firm in Durham, played by Nigel Duncan – –Emma Patrick, Client – Estate Agent in Durham, played by Emma Oettinger When: Friday, October 28 at 2:30pm Where:Solicitor’s office in Durham, England Part 1 (2:41 minutes) Part 2 (3:50 minutes) Part 3 (5:14 minutes) 3

4. Part 1 (2:41 minutes) 4

5. Part 2 (3:50 minutes) 5

6. “Solicitor Found Guilty” On 26th July 2004 Donna and Peter Davis from Yardley, Birmingham, were convicted of conspiring to supply Class A and B drugs and sentenced to 7 & 12 yrs A property owned by them had been sold following their conviction for less than a third of the market value. The property was purchased by Leslie John Pattison an estate agent Pattison paid £43,000 for the property (the outstanding mortgage on the property) which had been purchased two years earlier for £83,000. The conveyance of the property was handled by Phillip Jon Griffiths, a solicitor practicing in Shrewsbury. 6

7. “Solicitor Found Guilty” All four were charged with money laundering Griffiths in addition was charged with failing, as a member of the regulated sector, to make a disclosure, suspecting money laundering offences were taking place. Pattison was found guilty of acquiring criminal property and sentenced to 3 years Griffiths was cleared of money laundering He was convicted of failing to disclose a suspicious transaction and sentenced to 15 months imprisonment 7

8. At Sentencing the Judge Said: “ “You were unable to say no to Mr. Pattison, with whom you had a close relationship” “You took a chance and you were discovered” “Because of your connection with Pattison, you closed your eyes … to the clearest of evidence.” 8

9. On Appeal Regina v. Philip Griffiths Royal Courts of Justice – –Court of Appeal Criminal Division Decided 6 September2006 Citation: [2006] EWCA Crim 2155 Griffith’s sentence was reduced to 6 months He also lost his license to practice law. 9

10. Part 3 (5:14 minutes) 10

11. Free Use of These Materials You can download all three videos, the script, and this power point at www.teachinglegalethics.org/content/AML -Ethics www.teachinglegalethics.org/content/AML -Ethics Free to copy, distribute, re-post on the web, and modify – –Rewrite script for your jurisdiction – –Re-record with new actors, in your language As long as you provide attribution and do not use for a commercial purpose 11