Dáil debates

Wednesday, 20 July 2016

Proceeds of Crime (Amendment) Bill 2016: Committee Stage

 

8:30 pm

Photo of Frances FitzgeraldFrances Fitzgerald (Dublin Mid West, Fine Gael) | Oireachtas source

This amendment would apply proceeds of crime legislation to conduct which, as it stands, is not criminal. Under current law, neither payment for sexual services nor the receipt of payment for providing such services is a criminal offence. I understand that the intention is to provide in the Criminal Law (Sexual Offences) Bill 2015 for an offence of payment for sexual activity with a prostitute. That was the subject of considerable debate in the Seanad and a series of committee work that was done.

While the Bill was passed by the Seanad earlier this year, it has not yet been enacted and we have not had a discussion on it here. I hope we will move on to the Bill when the Dáil resumes after the summer recess. It is a matter for both Houses to pass the Bill.

While the proposals in the Criminal Law (Sexual Offences) Bill are generally well supported and have cross-party support in the Dáil, we have to conclude work on it. I would have some difficulty in introducing provisions in this Bill relating to the proceeds of crime arising from conduct that is not currently criminalised. It is not appropriate to introduce a provision that pre-empts the work of the House on the Bill. I take the point the Deputy has raised. When we are working on the other Bill in the House, we can be mindful of it.

A number of other points are worthy of consideration. The exemption for purchasing sexual services from criminal conduct for the purposes of the proceeds of crime could lead to sex workers being pressured into holding moneys as legitimate-seeming fronts for traffickers or other organised criminals. It might also make it more difficult for CAB to pursue the proceeds of crime held by, for example, pimps or traffickers. CAB would, for example, have to show a derivation from trafficking-related prostitution, as distinct from non-trafficking-related prostitution. Those matters need to be considered.

Another point relates to money-laundering legislation. It is the case that while the amendment would disapply the proceeds of crime legislation to money obtained by a person who offers sexual services, that money would still be the proceeds of criminal conduct for the purposes of the Criminal Law (Money-laundering and Terrorist Financing) Act 2010. To attempt to exempt the purchasing of sexual services in that respect could have potential effects on international obligations or the regulatory system for money laundering prevention and detection. There is also the potential for sex workers to be used as legitimate-seeming fronts for holding moneys for traffickers.

If the amendment was accepted and the offence of purchasing sexual services was introduced, money obtained from providing such services would be the proceeds of criminal conduct under money-laundering legislation, but not under the proceeds of crime legislation. Given that we have not concluded work on the Criminal Law (Sexual Offences) Bill, it would be better to wait to introduce this amendment to this Bill.

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