Reported by Riah Pryor

(Excerpt shared below. To read full report, go to: https://www.theartnewspaper.com/2025/09/23/money-laundering-crackdown-continues-as-dealer-faces-a-fine-of-more-than-£150000)

The UK art market is facing a notable escalation in anti-money laundering (AML) enforcement, as the latest round of HM Revenue & Customs (HMRC) penalties signals a shift from punishing simple registration failures to more deeply scrutinising operational compliance.

On 10 July, HMRC published the latest round of fines issued to Art Market Participants (defined as “a company or sole practitioner who trades in or acts as an intermediary in the buying or selling of works of art where the transaction value, or a series of linked transactions, is €10,000 or more”) . The list revealed a hefty £158,679 fine to DYS44 Art Gallery Limited. Based in London, the gallery was fined for wide-ranging procedural failures, including “[not] carrying out risk assessments, having the correct policies, controls and procedures, appropriate staff training, conducting due diligence, timing verification, and record keeping”.

DYS44’s director, Cesare Lampronti, tells The Art Newspaper: “I have taken significant steps to correct this concerning and unusual situation to be sure the gallery is fully compliant with HMRC regulatory developments.” The gallery received the fine for formal procedures rather than any suggestion of engagement with illicit activity. He adds: “Although no excuse, my more than than 60 years of experience and personal level of confidence in the integrity of the collectors and art market participants with whom I work, contributed to my assessment that the gallery was operating a low-risk business.”

The latest release of figures covers the period between 1 October 2024 and 31 March 2025. Rena Neville, the founder and director of AML specialists Corinth Consulting, says “the number of penalties being issued is accelerating. Compare the over 80 penalties listed for the most recent six-month period with the 61 penalties issued for the 20 months from January 2021 to September 2023.”

While most of the sanctions still relate to firms failing to register in time with HMRC, this latest update reveals cases where the breaches go beyond this oversight.