Corporate Crime & Compliance UK

  • July 22, 2019

    'Mr. Lithuania' Told To Pay Up Over Alstom Bribery Plot

    A judge on Monday ordered a former manager at Alstom Power known as "Mr. Lithuania" to hand over approximately £410,000 ($512,000) for his role in bribing politicians and senior officials in the country to win contracts to upgrade a power station.

  • July 22, 2019

    UK Reveals Plans To Crack Down On Workplace NDA Abuse

    The government has said it plans to introduce new laws to clamp down on companies in Britain that use gagging orders to prevent staff from reporting wrongdoing to the police, lawyers or doctors.

  • July 22, 2019

    Metro Bank To Sell Loans After $1.2B Accounting Error

    Troubled lender Metro Bank confirmed on Monday it is in talks to sell off a loan portfolio as it seeks to improve its financial position after revealing a £900 million ($1.2 billion) accounting blunder.

  • July 19, 2019

    Ex-Credit Suisse Director Cops To Role In $2B Loan Fraud

    A former Credit Suisse managing director on Friday admitted to his role in a bribery and investor fraud scheme involving $2 billion in loans to state-backed companies in Mozambique, telling a New York federal judge he conspired to defraud those who invested in the debt.

  • July 19, 2019

    Insurance Exec Must Turn Over £1.4M After Das Fraud

    A former director at Das must hand over approximately £1.4 million ($1.8 million) after a London judge slapped him with a confiscation order Friday over his part in a conspiracy to defraud the German-owned insurance company.

  • July 19, 2019

    Barclays, PE Firm's Civil Trial Delayed Amid Criminal Case

    A trial over a private equity firm’s claim that Barclays Bank PLC defrauded it at the height of the financial crisis has been postponed until June to ensure enough time for the parties to weigh the outcome of parallel criminal proceedings, a judge ruled Friday.

  • July 19, 2019

    EY Must Look For Docs In Whistleblower's Conflict-Gold Case

    A London judge Friday ordered an Ernst & Young unit to search for additional documents in a whistleblower suit accusing EY of suppressing incriminating audit findings for a Dubai gold company, after learning some materials had been destroyed.

  • July 19, 2019

    UK Litigation Roundup: Here's What You Missed In London

    The last week has seen the owner of a Manchester skyscraper that needed repair sue several underwriters at Lloyd's, a prominent cryptocurrency trader drag a U.K. digital currency exchange into court and an executive for Honeywell sue HSBC Bank PLC. Here, Law360 looks at those and other new claims in the U.K.

  • July 19, 2019

    EU Moves To Boost Resilience Of Money Market Funds

    Europe’s securities regulator set out guidelines on Friday aimed at ensuring that managers across the European Union are consistently testing whether their money market funds are sufficiently resilient and reporting key information to national supervisors.

  • July 19, 2019

    Unaoil Iraq Partner Pleads Guilty To Bribery Charges

    A former oil executive has pled guilty to conspiring to bribe officials to secure contracts in Iraq for clients of the Monaco-based oil consultancy Unaoil, the first conviction in the Serious Fraud Office’s three-year investigation.

  • July 18, 2019

    EY Fights Disclosure Bid In Whistleblower Conflict Gold Suit

    An Ernst & Young unit opposed as unnecessary Thursday a disclosure request from a whistleblower at its Middle East outpost who accuses E&Y entities of suppressing audit findings indicating that a Dubai company laundered money and bought gold from conflict zones.

  • July 18, 2019

    Network Service Co. Shareholders Win £6.5M Over PE Buyout

    The founder of a network services provider and other shareholders won £6.5 million ($8.11 million) from the company's former managers after a judge ruled Thursday that the founder was duped into selling a majority stake during a management buyout for less than the company was worth. 

  • July 18, 2019

    Pensions Regulator's Fines Soar To 49K In Past Year

    The number of companies fined for violating pensions laws have grown significantly over the last 12 months, the Pensions Regulator reported Thursday, amid growing scrutiny over how employees' retirement packages are managed.

  • July 18, 2019

    Insurance Fraudster Fights To Prevent Pension Confiscation

    The former boss of the U.K. subsidiary of a German insurance group fought on Wednesday to keep his £4.6 million ($5.7 million) pension pot out of the hands of prosecutors after he was convicted last year of conspiring with two others to defraud the unit.

  • July 18, 2019

    Shipowner Sues Insurers For $77M Over Confiscated Tanker

    The former owner of an oil tanker has asked a judge in London to force dozens of insurers to cough up $77 million after Venezuelan authorities seized the ship, claiming the events are covered as an act of war. 

  • July 18, 2019

    Danske Bank Profit Takes Hit After Compliance Crunch

    Danske Bank said Thursday that its net profit for the first half of 2019 has fallen 24% against the same period a year ago, pinning the blame partly on compliance costs connected to a money-laundering probe and allegations that it overcharged customers.

  • July 18, 2019

    Mob-Linked Developer Handed Unexplained Wealth Order

    British investigators have secured their first unexplained wealth order linked to an individual with suspected connections to organized crime in an investigation into a £10 million ($12.5 million) property empire, the National Crime Agency said Thursday.

  • July 17, 2019

    Yukos Seeks All Legal Costs In Sale-Rigging Trial, Court Told

    Five men conspired with a Russian state company to rig an auction for Yukos Oil and should now cover its lost income and the millions of dollars spent blocking the sale, the Dutch finance arm of the former oil giant said Wednesday at the wrap of a London trial.

  • July 17, 2019

    Google Fights Bid For Consumer Suit Over Snooping Claims

    Google urged an appellate court Wednesday to reject a multibillion-pound privacy suit brought by a consumer rights activist against the tech giant, arguing that the iPhone users at the heart of the claim are not entitled to damages under U.K. law.

  • July 17, 2019

    FCA Could Regulate Product Marketing After Scandals

    The head of the Financial Conduct Authority suggested on Wednesday that the marketing of new financial products should be more closely regulated, amid renewed criticism that the City watchdog is not providing enough protection against investment scams. 

  • July 17, 2019

    Watchdog Pursues Firms For Dodging Pension Liabilities

    The Pensions Regulator said on Wednesday that it is launching a clampdown on employers who use “camouflage” to commit fraud by changing the name of their company to avoid enrolling workers into a retirement scheme.

  • July 17, 2019

    Swedbank Scales Back Annual Dividend Amid AML Probe

    Swedbank AB said Wednesday that it will cut payouts to investors as it looks to steady its financial health after top executives left the lender amid a money-laundering scandal that has engulfed a number of Nordic banks.

  • July 17, 2019

    EU Antitrust Watchdog Probes Amazon Sales Practices

    The European Union launched an investigation Wednesday into how Amazon uses sensitive data collected from merchants over concerns the online giant is restricting competition, in the latest probe into big tech by the bloc's antitrust watchdog. 

  • July 16, 2019

    Ex-Alstom Exec Wants Bribe Case Tossed Over Years Of Delay

    A former U.K.-based executive of French corporation Alstom SA asked a Connecticut federal judge on Monday to end the Foreign Corrupt Practices Act case against him over delays that make the allegations "almost old enough to vote."

  • July 16, 2019

    Legal Aid Petition Delays Ex-Retail Chief’s Plea Hearing

    A judge on Tuesday postponed a plea hearing for the former owner of collapsed retail chain BHS Ltd., who is facing tax evasion and money laundering charges connected to his purchase of two yachts, after he asked for more time to obtain legal aid.

Expert Analysis

  • Key Reforms In UK Anti-Money Laundering Proposal

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    In response to concerns about an excess of suspicious activity reports, the U.K. Law Commission recently published a report recommending improvements to the U.K.'s anti-money laundering regime. The proposed reform is welcome, but may have missed an opportunity to advocate for some additional changes, says Jonah Anderson of White & Case.

  • A Timely Review To Enhance UK’s Company Register

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    The U.K. government's review of its company and persons of significant control registers, which have struggled with information reliability issues, will provide a useful yardstick on the progress of fighting money laundering and other nefarious activities, say Ian Hargreaves and Deirdre Lyons Le Croy of Covington.

  • Answers To Key Legal Finance Ethics Questions

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    While there is discussion in some quarters about new regulations on commercial legal finance, the hands-off approach taken by the majority of courts and legislatures is an implicit recognition that it is already sufficiently regulated, says Danielle Cutrona of Burford Capital.

  • Perspectives

    Addressing Modern Slavery Inside And Outside The UK

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    As the problem of modern slavery persists, U.K. companies must take a broad approach when rooting out slave labor in their supply chains, and should not ignore the risk posed by suppliers within the U.K., says Maria Theodoulou of Stokoe.

  • Why Data Breach Group Litigation Remains Rare In The UK

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    While the General Data Protection Regulation would seem to create a fertile area for group litigation, U.K. data breaches have not resulted in much litigation so far, say Oran Gelb and Sarah McAtominey of Bryan Cave.

  • New EU Public Prosecutor's Office Will Likely Struggle

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    The planned European Public Prosecutor's Office faces structural and jurisdictional issues that may complicate EU investigations and prosecutions, including those in the U.K., say Peter Binning and Alex Cummins of Corker Binning.

  • Opinion

    Danske AML Scandal Is A Wake-Up Call For Bank Regulators

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    While discussion of the Danske Bank scandal has focused on what went wrong and who was to blame, it is the financial regulators' failures that must be corrected in order to prevent such a massive money laundering scandal from happening again, says Neil Williams of Rahman Ravelli.

  • New UK Data-Gathering Powers May Be Stalled For Now

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    While the Crime Overseas Production Orders Act appears to significantly extend U.K. enforcement authorities' data-collection powers, overseas production orders are unlikely to be granted until a cooperation agreement is achieved with the U.S., say Peter Burrell and Francesca Sherwood of Willkie.

  • Norwich Pharmacal Orders Remain Vital In The Internet Age

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    Norwich Pharmacal orders, which can require third parties to reveal vital information despite duties of confidentiality, have proven to be a versatile remedy in a wide range of cases over the decades. Today, they remain relevant because websites provide platforms for anonymous wrongdoing, says Simon Bushell of Signature Litigation.

  • New FCA Regime Will Emphasize Individual Accountability

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    The Financial Conduct Authority's Senior Managers and Certification Regime, which will take effect this December, seeks to increase personal accountability within regulated firms and will introduce changes relevant to all FCA-authorized financial services firms, say Rosemarie Paul and Kirsten Lapham of Ropes & Gray.

  • 8 Ukrainian Arbitration Claims In The Wake Of Crimea Events

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    Eight arbitration claims have been filed under the 1998 investment treaty between Russia and Ukraine in connection with the 2014 incorporation of Crimea into Russia. Nicholas Peacock and Paula Cala of Herbert Smith discuss these claims' unusual background and how they might develop.

  • Cannabis Investors Should Beware Money Laundering Risk

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    Even if marijuana-related businesses are in compliance with local laws, their investors are not free of legal risk so long as cannabis remains a controlled drug in other countries, such as the U.K., say Robert Dalling and Wade Thomson of Jenner & Block.

  • Do Fines Really Discourage Banks From Breaking The Law?

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    Recent fines imposed against Standard Chartered by both U.K. and U.S. regulators raise questions about whether banks are now viewing anti-money laundering enforcement fines as a day-to-day cost of doing big business, says Syedur Rahman of Rahman Ravelli.

  • Key Issues For Energy Cos. In EU Cybersecurity Guidance

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    The European Union's recently issued recommendations on energy sector cybersecurity are valuable input for industry stakeholders with a presence in the EU, because they take into account the sector's real-time requirements, the risks of cascading effects and the combination of legacy systems with new technologies, say Diletta De Cicco and Charles Helleputte of Mayer Brown.

  • The Uncertain Future Of Gov't Investigations Post-Deutsche

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    A New York federal judge's recent decision in the Deutsche Bank Libor-rigging case U.S. v. Connolly threatens to upend decades of established cooperation practice in government investigations, a fact to which the opinion makes only a passing reference, say attorneys at Arnold & Porter.