The value of transparency: The role of beneficial ownership registers in policing illicit finance

This chapter discusses what law enforcement and crime prevention purposes ultimate beneficial ownership (UBO) registers can serve and how their objectives can be most effectively achieved. The availability of information about ownership of companies and trusts is frequently held out as an antidote to crime. In line with the old adage that sunlight is the best disinfectant, governments are increasingly committing to beneficial ownership transparency as a component of their law enforcement armoury in policing illicit financial flows. Apart from whether UBO registers should be public, a yet more pressing concern is how to ensure their accuracy and completeness. The UK’s register, which is maintained by Companies House, has been the poster child for a well-intentioned but unreliable database. In essence, UBO registers are intended to ensure that ownership of property which is held through a legal structure such as company or trust is known at least to the register’s administrator.