Corporate Crime & Compliance UK

  • January 23, 2020

    Russian Bank Wins $900M Sham Loan Suit Against Ex-Owners

    Three former bankers have to pay collapsed Russian lender Trust National Bank $900 million in compensation, after a London judge ruled Thursday that they had funneled hundreds of millions of dollars out of the Russian lender for their own benefit.

  • January 23, 2020

    Credit Suisse Denies Knowledge Of $2B Mozambique Scam

    Swiss lender Credit Suisse denied knowing about a $2 billion fraud and bribery scam tied to loans the bank made to Mozambique, rejecting the African country’s claims that it’s liable for the actions of three of its former employees.

  • January 23, 2020

    Unaoil Bribed Ex-Iraqi Official For Oil Contracts, SFO Says

    Employees of energy consulting company Unaoil bribed an Iraqi oil official to "tip the scales" in favor of companies vying for lucrative government contracts to rebuild the country's war-damaged infrastructure, prosecutors said at the start of a trial on Thursday. 

  • January 23, 2020

    EU Broadens Scope Of Payments Fraud Reporting Rules

    Europe’s banking watchdog has said its is broadening the scope of data on payments fraud that companies must report to include types of transactions not included in earlier European Union guidelines.

  • January 23, 2020

    Lloyd's Appoints 'Whistleblower Champion' After Censure

    Lloyd’s of London has appointed a so-called whistleblowers’ champion to its board, a month after a financial regulator censured the corporation for cutting off a hotline for reporting wrongdoing.

  • January 23, 2020

    PE Firm Can’t Oust Target’s Founders Amid Bribery Claims

    A judge at a London court has prevented a private equity firm from trying to oust the founders of a family-run records search company amid accusations of bribery to allow the under-fire directors to fight for control of the business.

  • January 23, 2020

    UK Regulators Must Face Scrutiny After Brexit, Report Urges

    Parliament must scrutinize Britain’s finance watchdogs to ensure they protect the country's markets after Brexit, as they will no longer be held to account by the European Union, regulatory experts warned on Thursday.

  • January 22, 2020

    ECJ Adviser's Glaxo Opinion A Boost For Pay-For-Delay Fines

    A European Court of Justice advocate general said Wednesday that the court should back £44.99 million ($59 million) in U.K. government fines against GlaxoSmithKline PLC and generic-drug makers accused of cutting anti-competitive pay-for-delay deals, in an opinion that could have important implications for other pay-for-delay cases before the top court.

  • January 22, 2020

    Fender Hit With £4.5M Antitrust Fine For Blocking Discounts

    The U.K’s competition watchdog has whopped Fender with a £4.5 million ($5.9 million) fine after the guitar maker admitted it had been breaking antitrust law by requiring British retailers not to sell its guitars below a set rate.

  • January 22, 2020

    Aviation Mogul's Hacked Emails At Center Of UAE Fraud Claim

    A cache of emails divulged by a hacker revealed that an aviation magnate was a “serial fraudster” who dishonestly reaped millions from an Emirati state-owned investment authority, the fund’s counsel said during opening trial statements Wednesday.

  • January 22, 2020

    Credit Suisse Gets Ex-Employee's 'Espionage' Claims Cut

    A London judge pared back a £46 million ($60 million) lawsuit brought against Credit Suisse by a former director who was jailed in Romania on espionage charges, but ruled on Wednesday that the bank could still have to pay him back after his career was ruined.

  • January 22, 2020

    Ex-Kazakh PM Slams ENRC's 'Incoherent' Suit Over SFO Leak

    The former prime minister of Kazakhstan has denied leaking confidential information about a mining giant to the Serious Fraud Office, saying the “incoherent” allegations should be severed from the latest suit connected to the Kazakh company’s complex legal battle with the agency.

  • January 22, 2020

    Serco Shareholders Sue Over Stock Dive After Fraud Probe

    Dozens of shareholders in Serco are suing the company at the High Court to seek compensation after share prices were devastated in 2013 by fraud and false accounting revelations over the electronic tagging service the security outsourcing giant operated for the government.

  • January 22, 2020

    Pension Co. Loses Demand For Docs At £86M FCA Trial

    A judge barred a pension company on Wednesday from seeing documents linked to an investigation by the Financial Conduct Authority into its business partners, hindering its efforts to deflect blame for allegedly misleading consumers at an £86 million ($113 million) trial.

  • January 22, 2020

    UK Cybercrime Laws Need Reform, Report Says

    Britain’s cybercrime laws need to be brought into the 21st century, according to a legal report published Thursday that warns outdated rules could lead to courts prosecuting professionals who have ethical motives for accessing company data.

  • January 22, 2020

    Claims Co. In Liquidation After Losing Appeal On FCA Fine

    A claims management company has gone into liquidation after failing in a legal appeal to have a fine of £91,000 ($119,000) wiped out, the Financial Conduct Authority said.

  • January 22, 2020

    Fashion Chain Ted Baker Accounting Gap Widens To £58M

    Ted Baker revealed on Wednesday that an accounting error is more than twice as big as it had initially thought, leaving the fashion chain with a £58 million ($76 million) hole in its balance sheet.

  • January 21, 2020

    NY Settlement Lets Goldman Sachs Exit La. Bond-Rigging Suit

    A Louisiana federal court said Tuesday that a $20 million settlement in a different case allows Goldman Sachs & Co. LLC to exit a suit alleging the Wall Street titan and other major banks rigged the price of bonds issued by government-sponsored entities such as Fannie Mae and Freddie Mac.

  • January 21, 2020

    Pensions Co. Raked In Huge Fees As Savers Lost, FCA Says

    A pensions “introducer” promised consumers unrealistic, sky-high returns if they sunk their retirement savings into risky overseas investments and reaped huge commission fees as the projects failed, the financial services watchdog said at trial Tuesday.

  • January 21, 2020

    Central Banks Team Up To Study Use For Digital Currencies

    The Bank of England said Tuesday it is working with five central banks from across the globe to explore the merits of creating digital currencies, as Facebook prepares to launch its own virtual money.

  • January 21, 2020

    Investor Group Calls For Broader Financial Transaction Tax

    Europe should extend its proposed tax on financial transactions to include the currency market, a “privileged playground” that trades more than $5 trillion every day, to make financial institutions pay their share of the tax, a consumer group said Tuesday.

  • January 21, 2020

    SFO Wins Compensation For Victims Of Solar Panel Fraud

    Two men who helped swindle millions of pounds from vulnerable consumers through a solar panel sales scam have been ordered to pay more than £434,000 ($567,000) in compensation, as the final court order in the investigation was handed down on Tuesday.

  • January 21, 2020

    Payments Watchdog Floats Exemptions To Fraud Rules

    Britain’s payments regulator has proposed widening the measures that banks can use to seek exemptions from new rules designed to prevent fraud by authenticating the identity of their customers.

  • January 21, 2020

    Man Jailed For Using Children To Inflate Insurance Claim

    A husband and wife have been sentenced for falsely telling their insurer that their children were in the back of a car in a road accident as they attempted to inflate the value of their claim.

  • January 20, 2020

    Execs Invented Barclays' Favored Status With Qatar, Jury Told

    Two former Barclays executives on trial for fraud invented the concept that the bank would become a preferred provider of banking services to Qatar via a side deal to emergency fundraising launched by the lender, a Serious Fraud Office prosecutor told a jury in London on Monday.

Expert Analysis

  • What UK Panel's Cryptoasset Update Does And Doesn't Clarify

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    A recent legal statement from the U.K. Jurisdiction Taskforce clearing up the status of cryptoassets and smart contracts reaffirms the flexibility of English law, but leaves matters of data protection and treatment of related assets in question, say Mark Dawkins and Jenny Arlington of Akin Gump.

  • How English Courts Approach Comity When Laws Conflict

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    Two recent cases from the High Court of Justice and the Court of Appeal shed light on how English appeals courts consider the principle of comity when one jurisdiction exposes a person to criminal prosecution for conduct required by the law of another jurisdiction, says Nick Barnard of Corker Binning.

  • Key Risks And Developments For UK Law Firm Culture In 2020

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    In 2020, law firms throughout the U.K. will be increasingly reshaped by rapid changes in societal expectations and advances in technology, say Helen Rowlands and Niya Phiri of Clyde & Co.

  • 5 Things To Watch In Litigation Finance This Year

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    As 2020 arrives, we may see new products and initiatives in litigation finance that we can’t imagine yet, but one thing is clear — this industry is well past its earliest stage and is entering a very active growth spurt, says Ralph Sutton of Validity Finance.

  • #MeToo Pressure On UK Businesses Is Set To Rise

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    Recent declarations by the Financial Conduct Authority and Prudential Regulation Authority indicate that sexual harassment in the U.K.'s financial services industry may lead to consequences under the newly expanded Senior Managers and Certification Regime, and other sectors are facing growing scrutiny as well, say attorneys at Covington.

  • Key Developments In 2019 Anti-Corruption Enforcement

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    As another year draws to a close, Aisling O'Shea and Nicholas Brechbill at Sullivan & Cromwell take a look at some of the most important U.S. anti-corruption enforcement trends.

  • How English Law Liability Frameworks May Apply To AI

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    Although English civil and criminal liability frameworks that apply to artificial intelligence systems seem likely to be reformed in the near future, those operating in the AI space should manage existing legal risks in the meantime, say Ben Hughes and Russell Williamson of Bird & Bird.

  • EU Tax Scandal Is Sure To Reach London

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    With powerful states in Europe using their full resources to investigate and prosecute those involved in the tax fraud scheme known as cum-ex trading, it seems all but inevitable that shared information will prompt significant investigations in London by the U.K. authorities, says Bambos Tsiattalou of Stokoe.

  • Opinion

    UK Anti-Money Laundering Efforts Must Be Reassessed

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    Transparency International's recent report regarding money laundering in the U.K. shows that the government is not making enough progress in addressing these crimes, says Syedur Rahman of Rahman Ravelli.

  • New French Law May Be 1st Step In Abating Carousel Fraud

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    Although there is still a long way to go, France's recent adoption of the European Union's Quick Fixes Council Directive will increase the odds of stemming carousel fraud — a type of value-added tax exploitation facilitated by the removal of customs borders, says Sophie Dorin at Bird & Bird.

  • Post-Brexit UK Likely To Conform With EU On Human Rights

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    In a recent speech, U.K. Foreign Secretary Dominic Raab stated his intent to expand sanctions for human rights violations by extending the so-called Magnitsky amendment, strongly indicating that Britain's exit from the EU would be unlikely to disrupt coordinated efforts to address international transgressions against human rights, says Stephen Baker at Baker & Partners.

  • Key Takeaways From Ex-Alstom Exec's FCPA Conviction

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    In U.S. v. Hoskins, a Connecticut federal court last week convicted a foreigner who did not work for a U.S. company of Foreign Corrupt Practices Act violations, presenting valuable lessons about the scope of FCPA liability and how to effectively withdraw from a bribery scheme, say Sunil Shenoi and Kim Nemirow at Kirkland.

  • The Evolution Of GDPR Enforcement Across The EU

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    With the last few months bringing significant fines to major businesses that have breached the European Union's General Data Protection Regulation, it is clear that regulators are moving away from the light-touch approach they employed during the transition to the new rules, says James Simpson of Blaser Mills.

  • Corporate Wrongdoing Risks Go Beyond Exec Departures

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    Recent controversy over misconduct allegations that led to the ousting of a KPMG executive reminds firms that the challenges caused by suspecting or uncovering internal wrongdoing are not so easily solved by the implicated executive's exit, says Sarah Chilton of CM Murray.

  • Series

    Why I Became A Lawyer: Being There For Families In Trouble

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    My parents' contentious, drawn-out divorce was one of the worst experiences of my life. But it taught me how to be resilient — and ultimately led me to leave corporate litigation for a career in family law, helping other families during their own difficult times, says Sheryl Seiden of Seiden Family Law.