Corporate Crime & Compliance UK

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ENRC Settlement Shows SFO Ready To Draw Line Under Past

The Serious Fraud Office's recent settlement ending litigation with Eurasian Natural Resources Corp. over alleged misconduct by its officials sidesteps weeks of awkward testimony to free the agency to pursue its growing caseload while drawing another line under its blighted investigation into the miner.
December 12, 2024
Barrister's 'Boys Club' Posts Not Misconduct, Tribunal Rules

A disciplinary tribunal dismissed on Thursday five charges against barrister Charlotte Proudman, which had been brought by her regulator over social media posts she had made saying that a judge's decision had "echoes of [the] boys club" about it.
December 11, 2024
SFO Arrests Five In Probe Of Suspect Timeshare Fraud

The Serious Fraud Office launched an investigation on Thursday into fraudulent timeshare schemes believed to have been run by organized criminals suspected of conning consumers using high-pressure sales tactics over six years to con them out of service fees.
December 11, 2024
Oligarch Denies Stripping Norilsk Assets In Fight With Rusal

Russian oligarch Vladimir Potanin has hit back at allegations that he breached contracts with aluminum giant Rusal, telling a London court that the metals business has advanced its case "on a knowingly false basis" to gain a business advantage.
December 11, 2024
Google Beats Patients' Bid To Revive Mass Data Privacy Claim

Google has dodged a class action from patients who alleged the tech giant misused their health records for a kidney injury alert app, after a London appeals court on Wednesday refused to revive the mass data privacy claim.
December 11, 2024
Netherlands Gov't Reports $5.3B Drop In Tax Avoidance

The Dutch government said Wednesday that it has seen tax avoidance drop by €5 billion ($5.3 billion) since the imposition of two European Union directives targeting low-tax corporate structures and practices.
December 11, 2024
UK Supreme Court To Hear Motor Finance Misselling Appeal

The U.K.'s top court said Wednesday that it would hear an appeal by car finance lenders following a landmark ruling that consumers must be told about commissions paid to dealers on car loans that set British banks on edge.
December 11, 2024
Klarna Fined $46M By Sweden For AML Violations

Sweden's financial watchdog hit Klarna Bank AB with a 500 million krona ($45.7 million) fine on Wednesday for breaching anti-money laundering rules, after finding that the payments service provider failed to assess its potential role in economic crime.
December 11, 2024
Gov't Urged To Carefully Prioritize Regulatory Reforms

The British government must prioritize a "logical sequence" of regulatory reforms that most benefit consumers and improve economic growth instead of introducing changes all at once, the insurer Aegon said Wednesday.
December 10, 2024
Bar Council Slams Delay In Sidhu Harassment Case

The Bar Council urged the regulator for English barristers Tuesday to handle serious complaints more efficiently after sexual misconduct proceedings against the former head of the Criminal Bar Association took two years to reach a conclusion.
December 10, 2024
EU To Introduce Digital Certificate For Withholding Tax Relief

The Council of the European Union said Tuesday that it has agreed on new withholding rules that grant easy access to tax relief for cross-border investors through a common digital tax residence certificate.
December 10, 2024
FCA Acted 'Irrationally' Over Misselling Redress, MPs Say

A London court on Tuesday began a judicial review of the Financial Conduct Authority's decision not to rethink its treatment of consumers blocked from a bank misselling redress scheme after a challenge brought by a cross-party group of lawmakers.
December 10, 2024
UK Audit Watchdog Bills Crowe £1M Over Akazoo Failings

The United Kingdom's auditing watchdog said Tuesday it has hit Crowe U.K. LLP and its chief executive with over £1 million ($1.3 million) in fines and costs following the firm's botched audits of streaming site operator Akazoo Ltd.
December 10, 2024
Vifor Pharma To Pay NHS £23M Over Misinformation Probe

A global pharmaceutical has agreed to pay the National Health Service £23 million ($29.3 million) to address concerns it spread misinformation to healthcare professionals about the safety of a rival treatment for iron deficiency anemia, the U.K.'s competition watchdog said Tuesday.
December 10, 2024
HMRC Staff Vote To Strike Over Sacking Of 3 Colleagues

More than 200 staff members at an HM Revenue and Customs office have voted to strike for up to eight weeks in protest over the firing of three colleagues, allegedly for taking part in other industrial action.
December 10, 2024
Soft Landing For Pilot As Billionaire's Insider Case Wraps

A pilot who admitted to dodging taxes on $500,000 in income after he was accused of taking stock tips from Joe Lewis, his billionaire boss, avoided prison on Tuesday at a sentencing that closed a high-profile insider trading prosecution.
December 10, 2024
Privinvest Denied Appeal In 'Tuna Bond' Bribery Case

An Emirati shipbuilder on Tuesday was refused permission to appeal a London court judgment that found the company was involved in the "tuna bond" bribery scandal that wrecked Mozambique's economy.
December 10, 2024
Investors Bid To Revive Suboxone Representative Claim

The Court of Appeal was urged on Tuesday to allow investors in Reckitt Benckiser and its former subsidiary Indivior PLC to opt in to a representative action over the allegedly false marketing by the companies of Suboxone, an opioid addiction treatment.
December 10, 2024
SFO 'Scrambling In The Dark' Without Tip-Offs, Director Says

The head of the Serious Fraud Office called for the U.K. to pay whistleblowers in economic crime cases, admitting Tuesday that investigators are "scrambling in the dark" to get to the heart of complex cases as momentum grows for a government review of the issue.
December 10, 2024
Human Rights Lawyer Spared Prison For Legal Aid Fraud

Former human rights lawyer Philip Shiner was spared prison on Tuesday for making a fraudulent application for legal aid on behalf of Iraqi detainees bringing claims against British soldiers who served in Iraq.
December 10, 2024
FCA Will Support Growth But Not 'Light Touch' Regulation

The Financial Conduct Authority said on Tuesday that it will not return to the "light touch" regulation from before the 2008 financial crisis but is committed to responsible risk-taking to support the Labour government's goal of boosting economic growth.
December 10, 2024
Jockey Frankie Dettori Named In HMRC Tax Avoidance Battle

Italian jockey Frankie Dettori has been named as the individual who attempted to maintain his anonymity to keep private his legal battle with HM Revenue and Customs over a tax avoidance scheme, according to a London court judgment.
December 10, 2024
Couple To Forfeit £12M Over China-Linked Financial Fraud

The National Crime Agency said Tuesday that it has secured a £12 million ($15 million) settlement with a Chinese couple who were suspected of financial fraud and money laundering after building a multimillion-pound property business in the U.K.
December 10, 2024
Bar Manager Unfairly Fired Over Drugs At Work Allegations

A bar manager has won at least £6,200 ($7,900) after convincing a tribunal that her company unfairly fired her amid unsupported allegations that she had taken illegal drugs at work.
December 09, 2024
Lawyer Fined For Nondisclosures About Mafia-Linked Project

A partner at an Italian firm was fined £50,000 ($64,000) and reprimanded by a London legal disciplinary tribunal Monday after he admitted failing to declare previous findings made against him in Italy and the U.K. related to failed investments in a 'Ndrangheta mafia-linked real estate project.
December 09, 2024
Reckitt Investors To Test Class-Action Rules In Opioid Case

The Court of Appeal will consider on Tuesday whether shareholders in Reckitt Benckiser and drug company Indivior can pursue litigation linked to America's opioid crisis as a "representative claim" that is similar to a U.S.-style class action.

Editor's Picks

FCA's £29M Fine Of Starling Sends Wider Compliance Warning

The Financial Conduct Authority hit Starling Bank Ltd. with a £28.9 million ($38.4 million) fine on Wednesday for inadequate anti-money laundering and sanctions controls. This has sent a wider warning to companies that compliance levels must match growth.
NCA Ducks Litigation Risk In 1st Seizure Of Sanctioned Assets

The decision by the National Crime Agency to secure the forfeiture of the assets of a sanctioned Russian oligarch is a pragmatic victory that avoids the risk of setting a damaging legal precedent, lawyers say.
How 3 Firms Cleared 2 Ex-Autonomy Execs In HP Fraud Case

A California federal jury's rejection last week of fraud charges against the founder and former finance vice president of British software company Autonomy validated an approach by the defendants' three law firms — Steptoe, Clifford Chance and Bird Marella — to form a "seamless" collaboration throughout the trial, from jury selection to closing arguments.

Expert Analysis

What To Know About Plans For A UK Green Taxonomy

Rachel Richardson at Macfarlanes discusses the purpose of HM Treasury’s recent consultation on a U.K. green taxonomy, explains why the tool — which would define what economic activities support climate objectives — is necessary, and considers drafting challenges the U.K. government may face.
Key Takeaways From EU's Coming Digital Act

The European Union's impending Digital Operational Resilience Act will necessitate closer collaboration on resilience, risk management and compliance, and crucial challenges include ensuring IT third-party service providers meet the requirements on or before January 2025, says Susie MacKenzie at Coralytics.
Takeaways From EU's Draft AI Code Of Practice

The European Union AI Office’s recently published first draft of the General-Purpose AI Code of Practice sheds some welcome light on which Artificial Intelligence Act compliance issues the office finds particularly knotty and, importantly, acknowledges where further guidance will be necessary, say lawyers at Akin.
The Rising Tide Of EU Antitrust Enforcement In Pharma

The European Commission’s recent record-breaking €463 million fine of Teva for abusing its dominant position confirms that European Union competition law enforcement in the pharmaceutical sector remains a priority, with infringements drawing serious financial exposure, say lawyers at Cooley.
Looking Back On 2024's Competition Law Issues For GenAI

With inherent uncertainties in generative artificial intelligence raising antitrust issues that attract competition authorities' attention, the 2024 uptick in transaction reviews demonstrates that regulators are vigilant about the possibility that markets may tip in favor of large existing players, say lawyers at McDermott.
UK Bill Aims To Make Better Use Of Data Across Economy

The new Data Bill’s practical improvements to data schemes and certification systems will be welcomed by online service providers, but organizations need to consider the conditions and whether compliance will entail technical operational changes, say lawyers at Osborne Clarke.
The EU AI Act's Impact On Global Financial Regulation

The European Union’s new Artificial Intelligence Act, representing lawmakers’ first comprehensive attempt to regulate AI and giving special attention to the financial services sector, hopes to influence global legal and regulatory frameworks to maintain access to the EU market, say lawyers at Goodwin.
Cross Market Drill Highlights Operational Resilience Priorities

The U.K.’s recent cross-market major infrastructure failure simulation exercise, demonstrates that operational resilience of the financial sector is high on the regulatory agenda, and the findings should ensure that the sector develops collective capabilities to deliver improvements, say lawyers at Taylor Wessing.
Update On Timings Key For Online Safety Act Compliance

The Office of Communications’ recent update on Online Safety Act deadlines is significant because applicability of the act has been contingent on this guidance, and with clarification of enforcement details, organizations can now prepare for their risk assessment, say lawyers at Bird & Bird.
What The Future Of AI In Financial Services Looks Like

Artificial intelligence is rapidly transforming the global financial services industry, with a hybrid model likely to evolve where AI handles routine tasks and humans focus on strategy and decision-making, so financial institutions should work with regulators to establish ethical standards and meet regulatory expectations without stifling innovation, say lawyers at Womble Bond.
FCA Survey Results Reveal Rise In Nonfinancial Misconduct

After a Financial Conduct Authority survey recently reported a significant rise in nonfinancial misconduct, there are a number of preventive steps firms should take to create a healthy workplace environment and mitigate the risk of increased regulatory scrutiny, say lawyers at WilmerHale.
Online Safety Act Heightens Duties Of Social Media Platforms

The Office of Communications’ latest update on how it is implementing the Online Safety Act is part of a wider evolving debate, but while social media platforms wait for the law to take full effect, they can focus on establishing clear online safety policies, training programs for staff and proactive engagement with regulators, says Dan Adams at Arbor Law.
Gov't Fraud Prevention Guide Proves To Be A Damp Squib

The Home Office’s recent guide to the Economic Crime Act’s failure to prevent fraud offense goes little further than offering broad suggestions, signaling the Serious Fraud Office’s encouragement of companies to self-police rather than an intention to pursue fraud allegations to trial, say lawyers at BCL Solicitors.
When Investigating An Adversary, Be Wary Of Forged Records

Warnings against the use of investigators who tout their ability to find an adversary’s private documents generally emphasize the risk of illegal activity and attorney discipline, but a string of recent cases shows an additional danger — investigators might be fabricating records altogether, says Brian Asher at Asher Research.
EU Enviro Directive Compliance Must Be A Priority For CEOs

The new European Union Environmental Crime Directive makes clear that criminal liability of a company for causing environmental damage does not preclude proceedings being brought against individuals who aid and abet, including CEOs, board members and other corporate leaders, say lawyers at Crowell & Moring.