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Financial Services UK
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December 02, 2024
Eversheds Aids Canada Life On £250M Pension Deal For Kion
German industrial supplier Kion Group AG has offloaded £250 million ($316 million) of its U.K. pension liabilities to Canada Life, the insurer said Monday, in a deal steered by Pinsent Masons LLP and Eversheds Sutherland.
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December 02, 2024
Compensation Fund Open To Claims On Failed SIPP
Customers of a self-invested personal pension operator can now file compensation claims through the Financial Services Compensation Scheme following the company's administration and liquidation earlier this year.
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December 02, 2024
FCA Urges Better AML Regulation Of Conveyancing
The supervisory body for watchdogs in the legal and accountancy sectors has told them that they must take further steps to prevent money laundering in the transfer of ownership in U.K. property transactions.
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November 29, 2024
US Firm Gathers Support For £351M Bid For Loungers
U.S. investment firm Fortress Investment Group LLC said Friday that its takeover bid of approximately £350.50 million ($447 million) for British hospitality chain Loungers has won support from another shareholder.
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November 29, 2024
Greensill Rejects Gov't's 'Immaterial' Defense To Leaked Probe
Lex Greensill has said a claim by the Department for Business and Trade that leaking private details of an investigation into him had not damaged his reputation is "immaterial" to his data and privacy claim against the government.
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November 29, 2024
Lombard Odier Indicted In Switzerland For Money Laundering
Swiss prosecutors said on Friday that they have indicted Lombard Odier and one of its former employees for "aggravated money laundering" — a rare move against one of the country's largest wealth managers.
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November 29, 2024
UK Pension Funds Back Gov't Mansion House Reforms
The largest pension providers in Britain threw their weight Friday behind the government's measures to develop Canadian-style megafunds in the U.K. to achieve better results for savers through economies of scale.
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November 29, 2024
UK Litigation Roundup: Here's What You Missed In London
This past week in London has seen the National Crime Agency file a civil recovery order against a Chinese couple suspected of £29 billion ($37 billion) banking fraud, Norwich City FC of the second tier of English football hit two drinks companies with IP claims, and Owen Jones of the Guardian newspaper sue Telegraph columnist Allison Pearson for libel.
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November 29, 2024
Audit Watchdog Urges EU To Curb Harmful Tax Practices
The European Union is still not doing enough to stop harmful corporate tax practices that are costing governments more than €100 billion ($105 billion) a year in revenue, the bloc's independent audit watchdog has warned.
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November 29, 2024
Apollo Accused Of Confidential Info Misuse In Wagamama Bid
Apollo Global Management is facing allegations in a London court that it misused an investment company's confidential information to mount an acquisition in 2023 of The Restaurant Group, the owner of Wagamama Asian food restaurants.
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November 29, 2024
Fund Vehicle Sells $173M Shares In UK Investment Platform
A vehicle controlled by investment firms Centerbridge and Gallatin has said it has sold its final stake in Phoenix Financial Ltd., a financial services and investment firm for consumers in the U.K., raising approximately $173 million.
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November 28, 2024
Barclays Fights 'Shareholder Rule' In Privilege Dispute
Investors sought to prevent Barclays PLC asserting legal privilege over documents requested for disclosure in securities fraud litigation at a court hearing Thursday, after a judge ruled in a separate case that a "shareholder rule" exception to legal privilege did not exist.
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November 28, 2024
Vacation Co. Denies Avoiding Wyndham Hotels' TM Royalties
A vacation group has denied that it is avoiding paying hotel chain operator Wyndham at least approximately $6.5 million a year in royalties and administration fees, claiming Wyndham knew that the group had no interest in using its trademarks.
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November 28, 2024
TPR To Become 'Prudential' Regulator After Gov't Reforms
The retirement savings watchdog has said that its role as a regulator will change as pension schemes become consolidated into much larger megafunds and effectively become too big to fail.
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November 28, 2024
Police Detain 32 People In Raids On €297M VAT Fraud Network
Police have detained more than 30 people in raids on a €297 million ($313 million) value-added tax fraud network that spanned 16 EU countries, the European Public Prosecutor's Office said Thursday.
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November 28, 2024
Former Finance Execs Must Pay £45M For Takeover Violations
The financial troubles of three former executives of MWB Group, an investment firm that has collapsed, does not preclude them from owing £44.8 million ($56.8 million) in compensation for violating the U.K. takeover rules by deceiving shareholders, a court ruled on Thursday.
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November 28, 2024
Ex-HMRC Compliance Officer Helped Husband Launder £3M
A former compliance officer with HM Revenue and Customs has been handed a suspended sentence for her role in a £3 million ($3.8 million) money laundering operation carried out by her husband, the Crown Prosecution Service has said.
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November 28, 2024
AXA Loses Time Limits Appeal In HMRC Foreign Tax Claim
Insurer AXA has lost its fight over time limits for bringing claims for restitution against the British tax authority over taxes collected in violation of European Union law, as a London appeals court ruled that the limits could not be extended.
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November 28, 2024
Asset Manager Liontrust Launches £5M Share Buyback
Liontrust Asset Management PLC launched a share buyback program Thursday worth up to £5 million ($6.3 million) aimed at lowering its outstanding share capital.
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November 28, 2024
Coventry's £780M Co-op Bank Deal Wins Regulatory Approval
Coventry Building Society said on Thursday that its £780 million ($990 million) buy-out of the Co-operative Bank will be finalized at the start of January after U.K. finance regulators approved the all-cash transaction.
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November 28, 2024
FCA Reworks Plans To Name Firms Under Investigation
The Financial Conduct Authority issued "significant" revisions to controversial proposals for publicizing investigations of wrongdoing on Thursday, including a move to give businesses more time to make justifications to the watchdog before being named.
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November 27, 2024
BlueCrest Disputes 'Disguised Salary' Claim In HMRC Case
British-American hedge fund BlueCrest Capital Management LLP pushed back Wednesday against arguments from the U.K. tax authority that its portfolio managers are employees receiving a disguised salary.
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November 27, 2024
Worker Told She Had Baby At 'Wrong Time' Wins £29K
An employment tribunal has awarded £28,890 ($36,458) to a chartered accountant who was demoted while on maternity leave and was told by bosses, she said, that she had "had a baby at the wrong time."
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November 27, 2024
FCA Strengthens Whistleblowing Policy After Staff Complaints
The Financial Conduct Authority said Wednesday that it has updated its internal whistleblowing policy in the wake of complaints from employees that it has failed to properly act on intelligence provided by informers.
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November 27, 2024
FCA Fines Former Wizz Air Exec Over Share Trades
The City watchdog said Wednesday it has fined a former executive at budget airline operator Wizz Air Holdings PLC over unallowed trading in the airline's shares worth more than £4 million ($5 million).
Expert Analysis
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What Green Claims Directive Proposal Means For Businesses
With the European Union’s recent adoption of a general approach to the proposed Green Claims Directive, which will regulate certain environmental claims and likely be finalized next year, companies keen to publicize their green credentials have even more reason to tread carefully, say Marcus Navin-Jones and Juge Gregg at Crowell & Moring.
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£43M Legal Bill Case Shows Courts' View On Exchange Rates
A recent Court of Appeal decision declined to change the currency used for payment of the Nigerian government's legal bill, aligning with British courts' consensus that they should not be concerned with how fluctuating exchange rates might benefit one party over another, says Francis Kendall at Kain Knight.
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Examining The EU's New Payments Services Package
Following recent European Parliament elections, the spotlight is turning to the highly anticipated payments services package expected in September, marking a pivotal moment in the legislative process that will reshape the payment services ecosystem in the European Union, says Kristýna Tupá and Karolína Hlavinková at Schoenherr.
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Examining The State Of Paccar Fixes After General Election
Following the U.K. Supreme Court's Paccar decision last year, which made many litigation funding agreements for opt-out collective actions in the Competition Appeal Tribunal unenforceable, the judiciary will likely take charge in implementing any fixes — but the general election has created uncertainty, says Ben Knowles at Clyde & Co.
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EU Reports Signal Greenwashing Focus For Financial Sector
Reports from the European Supervisory Authorities on enforcement of sustainability information, plus related guidance issued by the European Securities and Markets Authority, represent a fundamental change in how businesses must operate to maintain integrity and public trust, say Amilcare Sada and Matteo Fanton at A&O Shearman.
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Opinion
Without Change, Fighting Fraud Is A Losing Battle For The UK
To successfully fight fraud cases in the U.K. — like the Russian Coms scam recently shut down by the National Crime Agency — it is clear there needs to be significant investment in recruiting and training expert investigators, and meaningful engagement between the country’s intelligence platforms, says Anthony Hanratty at Howard Kennedy.
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Embedding Consumer Duty: 6 Areas Firms Should Prioritize
The Financial Conduct Authority has repeatedly emphasized that complying with the Consumer Duty is not a tick-box exercise but an ongoing responsibility, so firms need to show that the duty is at the heart of their practices by staying compliant in areas from cultural change to customer vulnerability, say Nicola Higgs and Becky Critchley at Latham.
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2 UK Rulings Highlight Persistent Push Payment Fraud Issues
Two recent High Court decisions, Larsson v. Revolut and Terna DOO v. Revolut, demonstrate that authorized push payment fraud continues to cause headaches for consumers and financial institutions alike, and with forthcoming mandatory reimbursement requirements, more APP fraud litigation can be expected, say lawyers at Charles Russell.
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Open Questions 3 Years After 2nd Circ.'s Fugitive Ruling
The Second Circuit’s 2021 decision in U.S. v. Bescond, holding that a French resident indicted abroad did not meet the legal definition of a fugitive, deepened a circuit split on the fugitive disentitlement doctrine, and courts continue to grapple with the doctrine’s reach and applicability, say attorneys at Lankler Siffert.
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Key Points From UK Prospectus Regime Reform Consultation
The Financial Conduct Authority's current consultation on U.K. prospectus regime reform proposals, including when a prospectus will be required and the requirements concerning content, is designed to enhance the attractiveness of the U.K.'s capital markets, say lawyers at Sullivan & Cromwell.
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Why NCA's 1st Seizure Of Sanctioned Funds Is Significant
The National Crime Agency’s recently secured forfeiture of a Russian oligarch's sanctioned funds was a landmark achievement, and is particularly notable because it was made under the Proceeds of Crime Act, illustrating how U.K. authorities can coordinate their respective powers to confiscate assets, says Lindsey Cullen at WilmerHale.
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Takeaways From New FCA Rules On Research Payments
The Financial Conduct Authority’s recently published final rules on payment optionality for investment research, which involve a client disclosure obligation option, will be welcome news for U.K. managers who buy investment research from U.S. brokers, and for global asset management groups, says Anna Maleva-Otto at Schulte Roth.
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What To Expect From Labour's Pension Schemes Bill
The Labour government’s recently announced Pension Schemes Bill, outlining key policy areas affecting the retirement savings sector, represents a positive step forward for both defined contribution scheme members and defined benefit superfunds, but there are some missing features, says Sonya Fraser at Arc Pensions.
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Int'l Treaties May Aid Investors Amid UK Rail Renationalization
The recently introduced Passenger Railway Services Bill seeks to return British railways to public ownership without compensating affected investors, a move that could trigger international investment treaty protections for obligation breaches, says Philipp Kurek at Signature Litigation.
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What EU Opinion May Mean For ESG Product Classification
The recently issued European Supervisory Authority opinion on the Sustainable Finance Disclosures Regulation offers key recommendations, including revising the definition of sustainable investments and making principal adverse impacts consideration mandatory, that could sway the European Commission’s final approach to product classification, say lawyers at Debevoise.