Last week, UK Finance, a banking trade association, recently warned financial institutions about roughly 800 questionable filings linked to 190 companies submitted to Companies House. These filings are believed to centre around mistakes in declaring the discharge of registered charges.
This revelation coincides with the enforcement of new legislation under the Economic Crime and Corporate Transparency Act 2023, empowering Companies House with enhanced capabilities to scrutinise, reject, clarify, and expunge inaccurate data from its registry.
While the registrar is looking into the issue and taking steps to reduce the risks involved, it has confirmed that these incorrect filings—indicating that a charge has been satisfied—are still legally valid and enforceable.
A holistic approach to KYB
For FullCircl, these developments underscore the criticality of adopting a comprehensive approach to Know Your Business (KYB) procedures.
In light of incidents such as the recent rogue filings at Companies House, FullCircl advocates for real-time screening of company data alongside a thorough Know Your Customer (KYC) process.
In addition to furnishing live updates on Companies House data, including mortgages, charges, and debentures, FullCircl offers access to an extensive repository of company information sourced from over 40 providers.
This vast dataset, comprising 250bn data points, not only validates information from Companies House but also provides a deeper insight into a company’s financial health.
Furthermore, FullCircl users benefit from the ability to monitor their clients’ activities and receive alerts on significant events, such as mortgage satisfactions, enabling proactive risk management.
FullCircl assures its customers of continuous vigilance to ensure the integrity of information sourced from its suppliers. Clients are encouraged to reach out to their dedicated account managers for any inquiries or concerns regarding the recent rogue filings reported by Companies House.
Read the full blog from FullCircl here.
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