Czech police could gain power to freeze suspicious assets for seven days

Czech police could gain new powers to temporarily freeze suspicious assets at risk of being hidden or transferred under legislation the government will discuss Monday, Nov. 2.

The Interior Ministry’s proposal would allow assets found in Czechia to be frozen for up to seven working days while authorities arrange a formal seizure order. It would also expand police access to financial records and government databases.

The changes would implement an EU directive aimed at preventing organized crime groups from keeping the proceeds of illegal activity. According to the ministry, Czech legislation already meets most of the directive’s requirements but needs several adjustments.

Under the proposed amendments, police discovering suspicious assets in Czechia would notify foreign counterparts and ask whether they want a preliminary freeze imposed.

The measure would help prevent assets from disappearing while the relevant authorities issue and execute a formal seizure order. If that does not happen within seven working days, the preliminary freeze would automatically expire.

The proposal also formally assigns the role of Czech asset recovery office to the relevant police unit, while the Interior Ministry would serve as the asset management office.

Police would gain more direct access to information from tax proceedings and the Central Register of Accounts, alongside access to the Labor Ministry’s integrated information system and the Central Register of Insured Persons.

More detailed information protected by banking secrecy would require prior approval from a public prosecutor. That safeguard was added following comments from several authorities.

The amendments would also simplify the use of information obtained from foreign asset recovery offices.

Police could use that information as evidence in criminal proceedings unless the foreign office had explicitly ruled out such use in advance. Currently, they must request permission.

When sending sensitive information abroad for potential use as evidence, Czech authorities would need a binding opinion from a prosecutor or court.

The proposal follows a separate bill, backed by the government in February and now before the Chamber of Deputies, concerning assets suspected of having an unlawful origin.

That legislation addresses cases where property believed to come from criminal activity might otherwise have to be returned because of insufficient evidence. It would allow a prosecutor to ask a court to open separate proceedings to recover the assets.

Both measures remain legislative proposals. Monday’s cabinet discussion will concern the new package of police powers, rather than bring them into force.