Captured statutory text (L5)
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(6)Subsections (4)(b) and (5) are subject to section 303Z46 and Chapter 3F.
(7)The Secretary of State may by regulations amend this section to make provision about the forfeiture of cryptoassets held in a crypto wallet that is subject to a crypto wallet freezing order.
(8)Regulations under subsection (7) may in particular make provision about—
(a)the process for the forfeiture of cryptoassets;
(b)the realisation of forfeited cryptoassets;
(c)the application of the proceeds of such realisation.
(9)Regulations under subsection (7) may make consequential amendments of this Chapter.
(10)The Secretary of State may not make regulations under subsection (7) unless the Secretary of State has—
(a)consulted the Scottish Ministers and the Department of Justice, and
(b)given a notice containing the relevant information to the Scottish Ministers and the Department of Justice.
(11)Consultation under subsection (10)(a) must include consultation about any effects that the Secretary of State considers the regulations may have on—
(a)a person in Scotland or Northern Ireland (as the case may be) applying for the forfeiture of cryptoassets held in a crypto wallet that is subject to a crypto wallet freezing order, and
(b)a sheriff or court in Scotland or a court in Northern Ireland (as the case may be) considering such an application or making an order for such forfeiture.
(12)In subsection (10)(b) “relevant information” means—
(a)a description of—
(i)the process undertaken in order to comply with subsection (10)(a) in relation to the Scottish Ministers or the Department of Justice (as the case may be), and
(ii)any agreement, objection or other views expressed as part of that process by the Scottish Ministers or the Department of Justice (as the case may be), and
(b)an explanation of whether and how such views have been taken into account in the regulations (including, in a case where the Secretary of State proposes to make the regulations despite an objection, an explanation of the reasons for doing so).
Associated and joint property(303Z43)
(1)Sections 303Z44 and 303Z45 apply if—
(a)an application is made under section 303Z41 in respect of cryptoassets,
(b)the court or sheriff is satisfied that some or all of the cryptoassets are recoverable property or are intended by any person for use in unlawful conduct, and
(c)there exists property that is associated with the cryptoassets in relation to which the court or sheriff is satisfied as mentioned in paragraph (b).
(2)Sections 303Z44 and 303Z45 also apply in England and Wales and Northern Ireland if—
(a)an application is made under section 303Z41 in respect of cryptoassets,
(b)the court is satisfied that some or all of the cryptoassets are recoverable property, and
(c)the cryptoassets in relation to which the court is satisfied as mentioned in paragraph (b) belong to joint tenants and one of the tenants is an excepted joint owner.
(3)In this section and sections 303Z44 and 303Z45 “associated property” means property of any of the following descriptions that is not itself the forfeitable property—
(a)any interest in the forfeitable property;
(b)any other interest in the property in which the forfeitable property subsists;
(c)if the forfeitable property is part of a larger property, but not a separate part, the remainder of that property.
References to property being associated with forfeitable property are to be read accordingly.
(4)In this section and sections 303Z44 and 303Z45, the “forfeitable property” means the cryptoassets in relation to which the court or sheriff is satisfied as mentioned in subsection (1)(b) or (2)(b) (as the case may be).
Agreements about associated and joint property(303Z44)
(1)Where—
(a)this section applies, and
(b)the person who applied for the order under section 303Z41 (on the one hand) and the person who holds the associated property or who is the excepted joint owner (on the other hand) agree,
the magistrates’ court or sheriff may, instead of making an order under section 303Z41(4), make an order requiring the person who holds the associated property or who is the excepted joint owner to make a payment to a person identified in the order.
(2)The amount of the payment is (subject to subsection (3)) to be the amount which the persons referred to in subsection (1)(b) agree represents—
(a)in a case where this section applies by virtue of section 303Z43(1), the value of the forfeitable property;
(b)in a case where this section applies by virtue of section 303Z43(2), the value of the forfeitable property less the value of the excepted joint owner’s share.
(3)The amount of the payment may be reduced if the person who applied for the order under section 303Z41 agrees that the other party to the agreement has suffered loss as a result of—
(a)the seizure of the forfeitable property under section 303Z29 and its subsequent detention, or
(b)the making of a crypto wallet freezing order under section 303Z37.
(4)The reduction that is permissible by virtue of subsection (3) is such amount as the parties to the agreement agree is reasonable, having regard to the loss suffered and any other relevant circumstances.
(5)An order under subsection (1) may, so far as required for giving effect to the agreement, include provision for vesting, creating or extinguishing any interest in property.
(6)An order under subsection (1) made by a magistrates’ court may provide for payment under subsection (12) of reasonable legal expenses that a person has reasonably incurred, or may reasonably incur, in respect of—
(a)the proceedings in which the order is made, or
(b)any related proceedings under this Chapter.
(7)A sum in respect of a relevant item of expenditure is not payable under subsection (12) in pursuance of provision under subsection (6) unless—
(a)the person who applied for the order under section 303Z41 agrees to its payment, or
(b)the court has assessed the amount allowed in respect of that item and the sum is paid in respect of the assessed amount.
(8)For the purposes of subsection (7)—
(a)a “relevant item of expenditure” is an item of expenditure to which regulations under section 286B would apply if the order under subsection (1) had instead been a recovery order;
(b)an amount is “allowed” in respect of a relevant item of expenditure if it would have been allowed by those regulations.
(9)For the purposes of section 308(2), on the making of an order under subsection (1), the forfeitable property is to be treated as if it had been forfeited.
(10)If there is more than one item of associated property or more than one excepted joint owner, the total amount to be paid under subsection (1), and the part of that amount which is to be provided by each person who holds any such associated property or who is an excepted joint owner, is to be agreed between both (or all) of them and the person who applied for the order under section 303Z41.
(11)If the person who applied for the order under section 303Z41 was a constable, an SFO officer or an accredited financial investigator, that person may enter into an agreement for the purposes of any provision of this section only if the person is a senior officer or is authorised to do so by a senior officer.
(12)An amount received under an order under subsection (1) must be applied as follows—
(a)first, it must be applied in making any payment of legal expenses which, after giving effect to subsection (7), are payable under this subsection in pursuance of provision under subsection (6);
(b)second, it must be applied in payment or reimbursement of any reasonable costs incurred in storing or insuring the forfeitable property and any associated property whilst detained under this Part;
(c)third, it must be paid—
(i)if the order was made by a magistrates’ court, into the Consolidated Fund;
(ii)if the order was made by the sheriff, into the Scottish Consolidated Fund.
Associated and joint property: default of agreement(303Z45)
(1)Where this section applies and there is no agreement under section 303Z44, the magistrates’ court or sheriff may transfer the application made under section 303Z41 to the appropriate court.
(2)The “appropriate court” is—
(a)the High Court, where the application under section 303Z41 was made to a magistrates’ court;
(b)the Court of Session, where the application under section 303Z41 was made to the sheriff.
(3)Where (under subsection (1)) an application made under section 303Z41 is transferred to the appropriate court, the appropriate court may order the forfeiture of the property to which the application relates, or any part of that property, if satisfied that what is to be forfeited is recoverable property or intended by any person for use in unlawful conduct.
(4)An order under subsection (3) made by the High Court may include provision of the type that may be included in an order under section 303Z41(4) made by a magistrates’ court by virtue of section 303Z41(5).
(5)If provision is included in an order of the High Court by virtue of subsection (4) of this section, section 303Z41(6) and (7) apply with the necessary modifications.
(6)The appropriate court may, as well as making an order under subsection (3), make an order—
(a)providing for the forfeiture of the associated property or (as the case may be) for the excepted joint owner‘s interest to be extinguished, or
(b)providing for the excepted joint owner‘s interest to be severed.
(7)Where (under subsection (1)) the magistrates’ court or sheriff decides not to transfer an application made under section 303Z41 to the appropriate court, the magistrates’ court or sheriff may, as well as making an order under section 303Z41(4), make an order—
(a)providing for the forfeiture of the associated property or (as the case may be) for the excepted joint owner‘s interest to be extinguished, or
(b)providing for the excepted joint owner‘s interest to be severed.
(8)An order under subsection (6) or (7) may be made only if the appropriate court, the magistrates’ court or the sheriff (as the case may be) thinks it just and equitable to do so.
(9)An order under subsection (6) or (7) must provide for the payment of an amount to the person who holds the associated property or who is an excepted joint owner.
(10)In making an order under subsection (6) or (7), and including provision in it by virtue of subsection (9), the appropriate court, the magistrates’ court or the sheriff (as the case may be) must have regard to—
(a)the rights of any person who holds the associated property or who is an excepted joint owner and the value to that person of that property or (as the case may be) of that person‘s share (including any value that cannot be assessed in terms of money), and
(b)the interest of the person who applied for the order under section 303Z41 in realising the value of the forfeitable property.
(11)If the appropriate court, the magistrates’ court or the sheriff (as the case may be) is satisfied that—
(a)the person who holds the associated property or who is an excepted joint owner has suffered loss as a result of—
(i)the seizure of the forfeitable property under section 303Z29 and its subsequent detention, or
(ii)the making of the crypto wallet freezing order under section 303Z37, and
(b)the circumstances are exceptional,
an order under subsection (6) or (7) may require the payment of compensation to that person.
(12)The amount of compensation to be paid by virtue of subsection (11) is the amount the appropriate court, the magistrates’ court or the sheriff (as the case may be) thinks reasonable, having regard to the loss suffered and any other relevant circumstances.
(13)Compensation to be paid by virtue of subsection (11) is to be paid in the same way that compensation is to be paid under section 303Z52.
Continuation of crypto wallet freezing order pending appeal(303Z46)
(1)This section applies where, on an application under section 303Z41 in relation to a crypto wallet to which a crypto wallet freezing order applies—
(a)the magistrates’ court or sheriff decides—
(i)to make an order under section 303Z41(4) in relation to some but not all of the cryptoassets to which the application related, or
(ii)not to make an order under section 303Z41(4), or
(b)if the application is transferred in accordance with section 303Z45(1), the High Court or Court of Session decides—
(i)to make an order under section 303Z45(3) in relation to some but not all of the cryptoassets to which the application related, or
(ii)not to make an order under section 303Z45(3).
(2)The person who made the application under section 303Z41 may apply without notice to the court or sheriff that made the decision referred to in subsection (1) for an order that the crypto wallet freezing order is to continue to have effect.
(3)Where the court or sheriff makes an order under subsection (2) the crypto wallet freezing order is to continue to have effect until—
(a)the end of the period of 48 hours starting with the making of the order under subsection (2), or
(b)if within that period of 48 hours an appeal is brought (whether under section 303Z47 or otherwise) against the decision referred to in subsection (1), the time when the appeal is determined or otherwise disposed of.
(4)Subsection (3) of section 303Z31 applies for the purposes of subsection (3) as it applies for the purposes of that section.
Sections 303Z41 to 303Z45: appeals(303Z47)
(1)Any party to proceedings for an order for the forfeiture of cryptoassets under section 303Z41 may appeal against—
(a)the making of an order under section 303Z41;
(b)the making of an order under section 303Z45(7);
(c)a decision not to make an order under section 303Z41 unless the reason that no order was made is that an order was instead made under section 303Z44;
(d)a decision not to make an order under section 303Z45(7).
Paragraphs (c) and (d) do not apply if the application for the order under section 303Z41 was transferred in accordance with section 303Z45(1).
(2)Where an order under section 303Z44 is made by a magistrates’ court, any party to the proceedings for the order (including any party to the proceedings under section 303Z41 that preceded the making of the order) may appeal against a decision to include, or not to include, provision in the order under section 303Z44(6).
(3)An appeal under this section lies—
(a)in relation to England and Wales, to the Crown Court;
(b)in relation to Scotland, to the Sheriff Appeal Court;
(c)in relation to Northern Ireland, to a county court.
(4)An appeal under this section must be made before the end of the period of 30 days starting with the day on which the court or sheriff makes the order or decision.
(5)The court hearing the appeal may make any order it thinks appropriate.
(6)If the court upholds an appeal against an order forfeiting any cryptoasset or other item of property, it may order the release of the whole or any part of the property.
Realisation or destruction of forfeited cryptoassets etc(303Z48)
(1)This section applies where any cryptoasset or other item of property is forfeited under this Chapter.
(2)An enforcement officer must—
(a)realise the property, or
(b)make arrangements for its realisation.
This is subject to subsections (3) to (5).
(3)The property is not to be realised—
(a)before the end of the period within which an appeal may be made (whether under section 303Z47 or otherwise), or
(b)if an appeal is made within that period, before the appeal is determined or otherwise disposed of.
(4)The realisation of property under subsection (2) must be carried out, so far as practicable, in the manner best calculated to maximise the amount obtained for the property.
(5)Where an enforcement officer is satisfied that—
(a)it is not reasonably practicable to realise any cryptoasset, or
(b)there are reasonable grounds to believe that the realisation of any cryptoasset would be contrary to the public interest,
the enforcement officer may destroy the cryptoasset.
(6)But—
(a)the enforcement officer may destroy the cryptoasset only if the officer is a senior officer or is authorised to do so by a senior officer, and
(b)the cryptoasset is not to be destroyed—
(i)before the end of the period within which an appeal may be made (whether under section 303Z47 or otherwise), or
(ii)if an appeal is made within that period, before the appeal is determined or otherwise disposed of.
(7)The question of whether the realisation of the cryptoasset would be contrary to the public interest is to be determined with particular reference to how likely it is that the entry of the cryptoasset into general circulation would facilitate criminal conduct by any person.
Proceeds of realisation(303Z49)
(1)This section applies where any cryptoasset or other item of property is realised under section 303Z48.
(2)The proceeds of the realisation must be applied as follows—
(a)first, they must be applied in making any payment required to be made by virtue of section 303Z45(9);
(b)second, they must be applied in making any payment of legal expenses which, after giving effect to section 303Z41(6) (including as applied by section 303Z45(5)), are payable under this subsection in pursuance of provision under section 303Z41(5) or, as the case may be, 303Z45(4);
(c)third, they must be applied in payment or reimbursement of any reasonable costs incurred in storing or insuring the property whilst detained under this Part and in realising the property;
(d)fourth, they must be paid—
(i)if the property was forfeited by a magistrates’ court or the High Court, into the Consolidated Fund;
(ii)if the property was forfeited by the sheriff or the Court of Session, into the Scottish Consolidated Fund.
(3)If what is realised under section 303Z48 represents part only of an item of property, the reference in subsection (2)(c) to costs incurred in storing or insuring the property is to be read as a reference to costs incurred in storing or insuring the whole of the property.
SupplementaryVictims and other owners: detained cryptoassets(303Z50)
(1)A person who claims that any cryptoassets detained under this Part belong to the person may apply for some or all of the cryptoassets to be released.
(2)An application under subsection (1) is to be made—
(a)in England and Wales or Northern Ireland, to a magistrates’ court;
(b)in Scotland, to the sheriff.
(3)The application may be made in the course of proceedings under section 303Z32 or 303Z41 or at any other time.
(4)The court or sheriff may order the cryptoassets to which the application relates to be released to the applicant if it appears to the court or sheriff that—
(a)the applicant was deprived of the cryptoassets to which the application relates, or of property which they represent, by unlawful conduct,
(b)the cryptoassets the applicant was deprived of were not, immediately before the applicant was deprived of them, recoverable property, and
(c)the cryptoassets belong to the applicant.
(5)If subsection (6) applies, the court or sheriff may order the cryptoassets to which the application relates to be released to the applicant or to the person from whom they were seized.
(6)This subsection applies where—
(a)the applicant is not the person from whom the cryptoassets to which the application relates were seized,
(b)it appears to the court or sheriff that those cryptoassets belong to the applicant,
(c)the court or sheriff is satisfied that the release condition is met in relation to those cryptoassets, and
(d)no objection to the making of an order under subsection (5) has been made by the person from whom those cryptoassets were seized.
(7)The release condition is met—
Full captured verbatim text
(6) Subsections (4)(b) and (5) are subject to section 303Z46 and Chapter 3F. (7) The Secretary of State may by regulations amend this section to make provision about the forfeiture of cryptoassets held in a crypto wallet that is subject to a crypto wallet freezing order. (8) Regulations under subsection (7) may in particular make provision about— (a) the process for the forfeiture of cryptoassets; (b) the realisation of forfeited cryptoassets; (c) the application of the proceeds of such realisation. (9) Regulations under subsection (7) may make consequential amendments of this Chapter. (10) The Secretary of State may not make regulations under subsection (7) unless the Secretary of State has— (a) consulted the Scottish Ministers and the Department of Justice, and (b) given a notice containing the relevant information to the Scottish Ministers and the Department of Justice. (11) Consultation under subsection (10)(a) must include consultation about any effects that the Secretary of State considers the regulations may have on— (a) a person in Scotland or Northern Ireland (as the case may be) applying for the forfeiture of cryptoassets held in a crypto wallet that is subject to a crypto wallet freezing order, and (b) a sheriff or court in Scotland or a court in Northern Ireland (as the case may be) considering such an application or making an order for such forfeiture. (12) In subsection (10)(b) “relevant information” means— (a) a description of— (i) the process undertaken in order to comply with subsection (10)(a) in relation to the Scottish Ministers or the Department of Justice (as the case may be), and (ii) any agreement, objection or other views expressed as part of that process by the Scottish Ministers or the Department of Justice (as the case may be), and (b) an explanation of whether and how such views have been taken into account in the regulations (including, in a case where the Secretary of State proposes to make the regulations despite an objection, an explanation of the reasons for doing so). Associated and joint property(303Z43) (1) Sections 303Z44 and 303Z45 apply if— (a) an application is made under section 303Z41 in respect of cryptoassets, (b) the court or sheriff is satisfied that some or all of the cryptoassets are recoverable property or are intended by any person for use in unlawful conduct, and (c) there exists property that is associated with the cryptoassets in relation to which the court or sheriff is satisfied as mentioned in paragraph (b). (2) Sections 303Z44 and 303Z45 also apply in England and Wales and Northern Ireland if— (a) an application is made under section 303Z41 in respect of cryptoassets, (b) the court is satisfied that some or all of the cryptoassets are recoverable property, and (c) the cryptoassets in relation to which the court is satisfied as mentioned in paragraph (b) belong to joint tenants and one of the tenants is an excepted joint owner. (3) In this section and sections 303Z44 and 303Z45 “associated property” means property of any of the following descriptions that is not itself the forfeitable property— (a) any interest in the forfeitable property; (b) any other interest in the property in which the forfeitable property subsists; (c) if the forfeitable property is part of a larger property, but not a separate part, the remainder of that property. References to property being associated with forfeitable property are to be read accordingly. (4) In this section and sections 303Z44 and 303Z45, the “forfeitable property” means the cryptoassets in relation to which the court or sheriff is satisfied as mentioned in subsection (1)(b) or (2)(b) (as the case may be). Agreements about associated and joint property(303Z44) (1) Where— (a) this section applies, and (b) the person who applied for the order under section 303Z41 (on the one hand) and the person who holds the associated property or who is the excepted joint owner (on the other hand) agree, the magistrates’ court or sheriff may, instead of making an order under section 303Z41(4), make an order requiring the person who holds the associated property or who is the excepted joint owner to make a payment to a person identified in the order. (2) The amount of the payment is (subject to subsection (3)) to be the amount which the persons referred to in subsection (1)(b) agree represents— (a) in a case where this section applies by virtue of section 303Z43(1), the value of the forfeitable property; (b) in a case where this section applies by virtue of section 303Z43(2), the value of the forfeitable property less the value of the excepted joint owner’s share. (3) The amount of the payment may be reduced if the person who applied for the order under section 303Z41 agrees that the other party to the agreement has suffered loss as a result of— (a) the seizure of the forfeitable property under section 303Z29 and its subsequent detention, or (b) the making of a crypto wallet freezing order under section 303Z37. (4) The reduction that is permissible by virtue of subsection (3) is such amount as the parties to the agreement agree is reasonable, having regard to the loss suffered and any other relevant circumstances. (5) An order under subsection (1) may, so far as required for giving effect to the agreement, include provision for vesting, creating or extinguishing any interest in property. (6) An order under subsection (1) made by a magistrates’ court may provide for payment under subsection (12) of reasonable legal expenses that a person has reasonably incurred, or may reasonably incur, in respect of— (a) the proceedings in which the order is made, or (b) any related proceedings under this Chapter. (7) A sum in respect of a relevant item of expenditure is not payable under subsection (12) in pursuance of provision under subsection (6) unless— (a) the person who applied for the order under section 303Z41 agrees to its payment, or (b) the court has assessed the amount allowed in respect of that item and the sum is paid in respect of the assessed amount. (8) For the purposes of subsection (7)— (a) a “relevant item of expenditure” is an item of expenditure to which regulations under section 286B would apply if the order under subsection (1) had instead been a recovery order; (b) an amount is “allowed” in respect of a relevant item of expenditure if it would have been allowed by those regulations. (9) For the purposes of section 308(2), on the making of an order under subsection (1), the forfeitable property is to be treated as if it had been forfeited. (10) If there is more than one item of associated property or more than one excepted joint owner, the total amount to be paid under subsection (1), and the part of that amount which is to be provided by each person who holds any such associated property or who is an excepted joint owner, is to be agreed between both (or all) of them and the person who applied for the order under section 303Z41. (11) If the person who applied for the order under section 303Z41 was a constable, an SFO officer or an accredited financial investigator, that person may enter into an agreement for the purposes of any provision of this section only if the person is a senior officer or is authorised to do so by a senior officer. (12) An amount received under an order under subsection (1) must be applied as follows— (a) first, it must be applied in making any payment of legal expenses which, after giving effect to subsection (7), are payable under this subsection in pursuance of provision under subsection (6); (b) second, it must be applied in payment or reimbursement of any reasonable costs incurred in storing or insuring the forfeitable property and any associated property whilst detained under this Part; (c) third, it must be paid— (i) if the order was made by a magistrates’ court, into the Consolidated Fund; (ii) if the order was made by the sheriff, into the Scottish Consolidated Fund. Associated and joint property: default of agreement(303Z45) (1) Where this section applies and there is no agreement under section 303Z44, the magistrates’ court or sheriff may transfer the application made under section 303Z41 to the appropriate court. (2) The “appropriate court” is— (a) the High Court, where the application under section 303Z41 was made to a magistrates’ court; (b) the Court of Session, where the application under section 303Z41 was made to the sheriff. (3) Where (under subsection (1)) an application made under section 303Z41 is transferred to the appropriate court, the appropriate court may order the forfeiture of the property to which the application relates, or any part of that property, if satisfied that what is to be forfeited is recoverable property or intended by any person for use in unlawful conduct. (4) An order under subsection (3) made by the High Court may include provision of the type that may be included in an order under section 303Z41(4) made by a magistrates’ court by virtue of section 303Z41(5). (5) If provision is included in an order of the High Court by virtue of subsection (4) of this section, section 303Z41(6) and (7) apply with the necessary modifications. (6) The appropriate court may, as well as making an order under subsection (3), make an order— (a) providing for the forfeiture of the associated property or (as the case may be) for the excepted joint owner‘s interest to be extinguished, or (b) providing for the excepted joint owner‘s interest to be severed. (7) Where (under subsection (1)) the magistrates’ court or sheriff decides not to transfer an application made under section 303Z41 to the appropriate court, the magistrates’ court or sheriff may, as well as making an order under section 303Z41(4), make an order— (a) providing for the forfeiture of the associated property or (as the case may be) for the excepted joint owner‘s interest to be extinguished, or (b) providing for the excepted joint owner‘s interest to be severed. (8) An order under subsection (6) or (7) may be made only if the appropriate court, the magistrates’ court or the sheriff (as the case may be) thinks it just and equitable to do so. (9) An order under subsection (6) or (7) must provide for the payment of an amount to the person who holds the associated property or who is an excepted joint owner. (10) In making an order under subsection (6) or (7), and including provision in it by virtue of subsection (9), the appropriate court, the magistrates’ court or the sheriff (as the case may be) must have regard to— (a) the rights of any person who holds the associated property or who is an excepted joint owner and the value to that person of that property or (as the case may be) of that person‘s share (including any value that cannot be assessed in terms of money), and (b) the interest of the person who applied for the order under section 303Z41 in realising the value of the forfeitable property. (11) If the appropriate court, the magistrates’ court or the sheriff (as the case may be) is satisfied that— (a) the person who holds the associated property or who is an excepted joint owner has suffered loss as a result of— (i) the seizure of the forfeitable property under section 303Z29 and its subsequent detention, or (ii) the making of the crypto wallet freezing order under section 303Z37, and (b) the circumstances are exceptional, an order under subsection (6) or (7) may require the payment of compensation to that person. (12) The amount of compensation to be paid by virtue of subsection (11) is the amount the appropriate court, the magistrates’ court or the sheriff (as the case may be) thinks reasonable, having regard to the loss suffered and any other relevant circumstances. (13) Compensation to be paid by virtue of subsection (11) is to be paid in the same way that compensation is to be paid under section 303Z52. Continuation of crypto wallet freezing order pending appeal(303Z46) (1) This section applies where, on an application under section 303Z41 in relation to a crypto wallet to which a crypto wallet freezing order applies— (a) the magistrates’ court or sheriff decides— (i) to make an order under section 303Z41(4) in relation to some but not all of the cryptoassets to which the application related, or (ii) not to make an order under section 303Z41(4), or (b) if the application is transferred in accordance with section 303Z45(1), the High Court or Court of Session decides— (i) to make an order under section 303Z45(3) in relation to some but not all of the cryptoassets to which the application related, or (ii) not to make an order under section 303Z45(3). (2) The person who made the application under section 303Z41 may apply without notice to the court or sheriff that made the decision referred to in subsection (1) for an order that the crypto wallet freezing order is to continue to have effect. (3) Where the court or sheriff makes an order under subsection (2) the crypto wallet freezing order is to continue to have effect until— (a) the end of the period of 48 hours starting with the making of the order under subsection (2), or (b) if within that period of 48 hours an appeal is brought (whether under section 303Z47 or otherwise) against the decision referred to in subsection (1), the time when the appeal is determined or otherwise disposed of. (4) Subsection (3) of section 303Z31 applies for the purposes of subsection (3) as it applies for the purposes of that section. Sections 303Z41 to 303Z45: appeals(303Z47) (1) Any party to proceedings for an order for the forfeiture of cryptoassets under section 303Z41 may appeal against— (a) the making of an order under section 303Z41; (b) the making of an order under section 303Z45(7); (c) a decision not to make an order under section 303Z41 unless the reason that no order was made is that an order was instead made under section 303Z44; (d) a decision not to make an order under section 303Z45(7). Paragraphs (c) and (d) do not apply if the application for the order under section 303Z41 was transferred in accordance with section 303Z45(1). (2) Where an order under section 303Z44 is made by a magistrates’ court, any party to the proceedings for the order (including any party to the proceedings under section 303Z41 that preceded the making of the order) may appeal against a decision to include, or not to include, provision in the order under section 303Z44(6). (3) An appeal under this section lies— (a) in relation to England and Wales, to the Crown Court; (b) in relation to Scotland, to the Sheriff Appeal Court; (c) in relation to Northern Ireland, to a county court. (4) An appeal under this section must be made before the end of the period of 30 days starting with the day on which the court or sheriff makes the order or decision. (5) The court hearing the appeal may make any order it thinks appropriate. (6) If the court upholds an appeal against an order forfeiting any cryptoasset or other item of property, it may order the release of the whole or any part of the property. Realisation or destruction of forfeited cryptoassets etc(303Z48) (1) This section applies where any cryptoasset or other item of property is forfeited under this Chapter. (2) An enforcement officer must— (a) realise the property, or (b) make arrangements for its realisation. This is subject to subsections (3) to (5). (3) The property is not to be realised— (a) before the end of the period within which an appeal may be made (whether under section 303Z47 or otherwise), or (b) if an appeal is made within that period, before the appeal is determined or otherwise disposed of. (4) The realisation of property under subsection (2) must be carried out, so far as practicable, in the manner best calculated to maximise the amount obtained for the property. (5) Where an enforcement officer is satisfied that— (a) it is not reasonably practicable to realise any cryptoasset, or (b) there are reasonable grounds to believe that the realisation of any cryptoasset would be contrary to the public interest, the enforcement officer may destroy the cryptoasset. (6) But— (a) the enforcement officer may destroy the cryptoasset only if the officer is a senior officer or is authorised to do so by a senior officer, and (b) the cryptoasset is not to be destroyed— (i) before the end of the period within which an appeal may be made (whether under section 303Z47 or otherwise), or (ii) if an appeal is made within that period, before the appeal is determined or otherwise disposed of. (7) The question of whether the realisation of the cryptoasset would be contrary to the public interest is to be determined with particular reference to how likely it is that the entry of the cryptoasset into general circulation would facilitate criminal conduct by any person. Proceeds of realisation(303Z49) (1) This section applies where any cryptoasset or other item of property is realised under section 303Z48. (2) The proceeds of the realisation must be applied as follows— (a) first, they must be applied in making any payment required to be made by virtue of section 303Z45(9); (b) second, they must be applied in making any payment of legal expenses which, after giving effect to section 303Z41(6) (including as applied by section 303Z45(5)), are payable under this subsection in pursuance of provision under section 303Z41(5) or, as the case may be, 303Z45(4); (c) third, they must be applied in payment or reimbursement of any reasonable costs incurred in storing or insuring the property whilst detained under this Part and in realising the property; (d) fourth, they must be paid— (i) if the property was forfeited by a magistrates’ court or the High Court, into the Consolidated Fund; (ii) if the property was forfeited by the sheriff or the Court of Session, into the Scottish Consolidated Fund. (3) If what is realised under section 303Z48 represents part only of an item of property, the reference in subsection (2)(c) to costs incurred in storing or insuring the property is to be read as a reference to costs incurred in storing or insuring the whole of the property. SupplementaryVictims and other owners: detained cryptoassets(303Z50) (1) A person who claims that any cryptoassets detained under this Part belong to the person may apply for some or all of the cryptoassets to be released. (2) An application under subsection (1) is to be made— (a) in England and Wales or Northern Ireland, to a magistrates’ court; (b) in Scotland, to the sheriff. (3) The application may be made in the course of proceedings under section 303Z32 or 303Z41 or at any other time. (4) The court or sheriff may order the cryptoassets to which the application relates to be released to the applicant if it appears to the court or sheriff that— (a) the applicant was deprived of the cryptoassets to which the application relates, or of property which they represent, by unlawful conduct, (b) the cryptoassets the applicant was deprived of were not, immediately before the applicant was deprived of them, recoverable property, and (c) the cryptoassets belong to the applicant. (5) If subsection (6) applies, the court or sheriff may order the cryptoassets to which the application relates to be released to the applicant or to the person from whom they were seized. (6) This subsection applies where— (a) the applicant is not the person from whom the cryptoassets to which the application relates were seized, (b) it appears to the court or sheriff that those cryptoassets belong to the applicant, (c) the court or sheriff is satisfied that the release condition is met in relation to those cryptoassets, and (d) no objection to the making of an order under subsection (5) has been made by the person from whom those cryptoassets were seized. (7) The release condition is met—