Proceeds of crime

Section 314(4) provided the test to determine whether it would be wrong to forfeit the recoverable property in the hands of an innocent party. The test was whether the innocent party’s consideration had become executed consideration; if it had not, then the innocent party would not be permitted to retain the proceeds of unlawful conduct which he had received but he would retain his consideration. If the innocent party’s consideration had become executed, the innocent party was permitted to retain the proceeds of unlawful conduct. Parliament intended that those applications could be made in summary proceedings. Parliament used language which was neither arcane nor obscure to define the circumstances in which recoverable property ceased to be recoverable. It followed that the protection to the innocent purchaser of the value was only provided when the contract has been completed and issues of economic loss on the part of the innocent purchaser were irrelevant.

Section 314(4) had to