Corporate Crime & Compliance UK

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Wave Of Decisions Reshapes UK Competition Tribunal

A series of last-minute antitrust rulings in Britain have reshaped vital battleground issues affecting funding, certification and limitation, raising thorny questions about how the country's competition regime functions.
September 28, 2023
Doctor Faces Sexual Misconduct Retrial After GMC Failings

A court on Thursday overturned a six-month suspension handed to a doctor who had sex with a patient in a London hospital toilet, ruling that the penalty may have been too lenient because regulators overlooked evidence that the patient was vulnerable.
September 28, 2023
UK Watchdog Seeks Input On Payment Fraud Compensation

The U.K.'s Payment Systems Regulator said Thursday it is seeking industry input on the rules requiring firms to compensate the victims of so-called authorized push payment scams.
September 28, 2023
FCA Fines, Bans 2 Advisers For Dishonest Pensions Advice

The Financial Conduct Authority said Thursday it had fined and banned two financial advisers over suspect retirement savings advice, in a case the watchdog dubbed "one of the worst" it has seen.
September 28, 2023
Ex-Post Office Lawyer Denies Trying To Cover Up IT Flaws

A former in-house lawyer with the Post Office denied she had tried to "shut up" sub-postmasters who pointed out flaws in the Horizon IT system as she gave evidence on Thursday to the inquiry into the scandal, which turned into a major miscarriage of justice.
September 28, 2023
ECJ Fines UK €32M For Allowing Marked Fuel In Private Boats

The U.K. must pay €32 million ($34 million) because it didn't follow a European Union order to prohibit the use of marked fuel in private pleasure boats in a timely manner, the European Court of Justice said Thursday.
September 28, 2023
Teacher Wins Appeal Over Influence Of Regulator's Probe

A teacher at a Scottish school has won her bid to overturn a judgment that limited her compensation for being unfairly dismissed and wrongly reported to a regulator, after an appeal tribunal judge ruled that the referral was based on "malicious" complaints.
September 28, 2023
UK Fines ExxonMobil Pension Plan Over Climate Reporting

Britain's pension watchdog said on Thursday that it issued ExxonMobil Corp. a fine in May for failing to publish a report on climate-related financial disclosures regarding its U.K. pension plan even though the company produced it on time.
September 28, 2023
FCA Warns Corp. Finance CEOs Over Market Abuse Failings

The Financial Conduct Authority warned chief executives of corporate finance firms Thursday that some lacked controls to prevent market abuse and had failed to address conflicts of interest.
September 28, 2023
EU Financial Watchdogs Warn Of Concentrated Tech Services

European financial regulators have warned of the dangers of popular technology providers supporting many critical functions within an interconnected market, heightening concerns about concentration in the sector as the EU prepares bloc-wide rules.
September 28, 2023
Met Probes Axiom Ince After SRA Report, Suspensions

The Metropolitan Police Service said Thursday that it is investigating a report about crisis-hit Axiom Ince Ltd. made by the Solicitors Regulation Authority in August.
September 27, 2023
Medical Tech Biz Fears Witness Intimidation In DLA Piper Case

A medical technology company warned a London judge on Wednesday that its former director could intimidate witnesses if it is forced to reveal their identities before a trial in which it is claimed he defrauded investors in a scheme using DLA Piper client accounts.
September 27, 2023
Brokerage Bosses Hid £3.5M Account Shortfall Before Buyout

A London court on Wednesday ordered two former insurance brokerage directors to pay their old business and its buyer more than £9.3 million ($11.3 million) after ruling that they falsified accounts to hide a £3.5 million deficit ahead of the sale.
September 27, 2023
Ex-Wells Fargo Adviser Fights Ruling On Compliance Warning

A former Wells Fargo consultant fought to revive his whistleblowing claim, arguing on appeal Wednesday that his expertise should have factored into an assessment of whether he reasonably believed the bank had gaps in its compliance with investor protections.
September 27, 2023
Steam Owner Can't Shake 'Geo-Blocking' €1.6M Antitrust Fine

The U.S. owner of the world's largest video game distribution platform lost its challenge Wednesday to a €1.6 million ($1.7 million) fine from Europe's antitrust regulator for blocking the sale of some of its products across the bloc's borders.
September 27, 2023
Jailed Russian Oligarch Files $14B Claim Over Seized Assets

An incarcerated Russian oligarch has filed a $14 billion claim at a London court alleging that his port and transport businesses were seized in a conspiracy led by the Russian state, his lawyers said in a statement Wednesday.
September 27, 2023
UK Delays Bank Capital Requirement Reforms To Mid-2025

The Bank of England said Wednesday that it will push back by six months the deadline for banks to implement U.K. rules on capital requirements to help them plan for the move.
September 27, 2023
SRA Bans Law Firm Cashier Over Fraud Conviction

The Solicitors Regulation Authority has banned a legal cashier from working at any law firm after she was convicted for defrauding thousands of pounds from her employer, in a decision published Wednesday.
September 27, 2023
Five Post Office Employees Get Convictions Overturned

Five Post Office employees who were prosecuted during the Horizon IT scandal had their convictions overturned Wednesday by a London judge — the latest development in a case that rocked the company and prompted an inquiry led by a judge.
September 26, 2023
Axiom Ince Loses Two Dozen Lawyers To Rivals

Axiom Ince Ltd. is continuing to shed staff, with 27 lawyers confirmed on Tuesday to have left for three rivals, marking the latest setback for the troubled law firm with a nearly £65 million ($79 million) hole in its client account.
September 26, 2023
Employers Must Sharpen Focus Amid Immigration Crackdown

British employers with migrant staff must be more vigilant about ensuring they comply with Home Office rules, immigration lawyers are warning as the government carries out more workplace raids and looks to triple fines for illegal working.
September 26, 2023
Trader Fights Extradition For Alleged $100M 'Pump-And-Dump'

The alleged leader of a $100 million "pump-and-dump" stock fraud fought against extradition to the U.S. at a London court Tuesday, saying that the allegations against him are not specific enough to justify extradition.
September 26, 2023
Jail Is No Place To Prep For Trial, Bankman-Fried Tells Judge

FTX founder Sam Bankman-Fried repeated his request to be released from jail for his upcoming criminal trial and be allowed to live in a temporary New York City residence, telling a Manhattan federal judge it's been "exceedingly difficult" to prepare at the Metropolitan Detention Center.
September 26, 2023
Visa Says Retailer Defied Swipe Fees Deal With Unit's Claim

Visa has sued an eyewear retailer for more than £173,000 ($210,000), claiming the business breached a legal settlement over interchange fees when it acquired a company also suing the card giant over swipe fees but failed to discontinue the claim.
September 26, 2023
Shell Defeats Safety Whistleblower's Bid For Pay

A tribunal has refused to order Shell to keep paying a worker who claims she was unfairly sacked for whistleblowing, ruling that her case is not likely enough to succeed to justify forcing the energy giant to pay her salary in the run-up to trial.
September 26, 2023
Ex-MP Loses Bid To Challenge 4-Year Fraud Prison Sentence

A London appeals court denied former Labour MP Jared O'Mara permission on Tuesday to challenge his four-year prison sentence for trying to claim £52,000 ($63,000) through fake invoices to fuel his "cocaine-and-alcohol-driven lifestyle," finding he had no prospect of success.

Expert Analysis

Italy's Bank-Profits Tax Plan May Become Model For Eurozone

If Italy's recently proposed 40% bank-profits tax helps keep its populist coalition government in power, notwithstanding the European Central Bank's legal challenges, the passage could spark a windfall tax trend across the eurozone and even in the U.K., says Cris Cicala at Stinson.
Accountability Is Key To Preventing Miscarriages Of Justice

The wrongful conviction of Andrew Malkinson and other recent cases show that in order to avoid future miscarriages of justice, there needs to be a fundamental reevaluation of how investigators, prosecutors and the Criminal Cases Review Commission operate, prioritizing stronger penalties and increased funding, say Thomas Walford at Expert Evidence International and policy analyst Gerald Frost.
4 Compliance Considerations Under FCA Consumer Duty

Following the U.K. Financial Conduct Authority's recent introduction of the new consumer duty regime, firms will need to be mindful of data protection implications when managing their compliance with the duty and data protection legislation, say lawyers at Bird & Bird.
Unpacking The Govt.'s Definition Of 'Professional Enablers'

A new U.K task force, which pursues lawyers who knowingly facilitate illegal immigration, may provide a preview of how the government intends to answer whether merely negligent legal professionals can also be charged as professional enablers of organized crime, says Kathryn Westmore at RUSI.
6 Key Factors For Successful Cross-Border Dispute Mediation

The European landscape of cross-border disputes diverges markedly from the U.S. experience and presents unique challenges, including the amalgamation of diverse cultures and legal systems, but there are several practical steps that practitioners can take to effectively navigate the process, says Peter Kamminga at JAMS.
Understanding EU's AI Act And Its Enforcement Mechanisms

Companies wishing to use or market AI technology in the EU will need to become familiar with the risk-based regulatory framework and strict enforcement mechanisms of the draft EU Artificial Intelligence Act, which may be effective as early as next year, say Matthew Justus at AT&T and Wade Barron at Kilpatrick Townsend.
Operational Resilience Considerations In Financial Services

A recent letter from the Financial Conduct Authority reminds CEOs of U.K. wholesale banks of their role in the safety and soundness of markets, but all firms can draw lessons and consider their own operational resilience for longer-term security and commercial benefit, says Richard Tall at Faegre Drinker.
UK Tech Cases Warn Of Liability Clause Drafting Pitfalls

The recent U.K. High Court cases Drax Energy Solutions v. Wipro and EE v. Virgin Mobile Telecoms indicate a more literal judicial approach to construing limitations of liability, even when this significantly limits a claimant's recoverable damages, highlighting the importance of carefully drafted liability provisions, say Helen Armstrong and Tania Williams at RPC.
UK Report Clear On Pro-Innovation Approach To AI Regulation

A recent U.K. government report focuses on the benefits and challenges of artificial intelligence, highlighting an opportunity for the U.K. to be an international leader, but unless it acts soon the EU will dominate and flexibility is likely to be helpful only at the margin, say Caroline Raul, Patrick O’Connell and Greg Palmer at Linklaters.
How The UK Investment Screening Regime Is Taking Shape

A recent order imposing remedies on an acquisition by EDF Energy highlights emerging trends in the U.K. government's national security reviews of transactions under the U.K. National Security and Investment Act, and shows how the U.K. remedy landscape compares to the U.S. regime, say lawyers at Arnold & Porter.
Consultations Underpin Mandatory Fraud Victim Repayment

The U.K. Payment Systems Regulator’s recent consultations on authorized push payment fraud reinforce its June policy expectation, which said that unless there is evidence of gross negligence and the consumer standard of caution has not been followed, providers must reimburse fraud victims, say lawyers at Hogan Lovells.
EU Directive Implementation Facilitates Class Action Shift

Lawyers at Faegre Drinker discuss the increase in class and consumer action filings leading up to the implementation of the EU's Collective Redress Directive, and predict that certain aspects of the directive will result in a pro-claimant landscape that may mirror that of the U.S. and other common law countries.
Swiss Privacy Law Reforms Present Divergences From GDPR

The differences between Switzerland’s recently reformed Federal Act on Data Protection and the EU's General Data Protection Regulation, particularly around data breach reporting and the liability of company officers, will need to be carefully managed by multinationals that may have competing obligations under different laws, say Kim Roberts and Vanessa Alarcon Duvanel at King & Spalding.
EU Antitrust Rules Set To Pose Challenges To US Businesses

With stark differences between U.S. and European Union antitrust regimes, and potential for the forthcoming EU guidelines to turbocharge the commission's appetite for intervention, it is important that U.S. businesses with activities in the region take note of the reforms, say Andrea Pomana and Sarah Wilks at Mayer Brown.
Navigating The Rising Threat Of Greenwashing Enforcement

Recent high-profile cases before the Danish Consumer Ombudsman are a signal that authorities are ready to take robust action against greenwashing, and with a likely increase in the stringency of laws and severity of penalties, it is vital that businesses promoting their sustainable credentials do so in a compliant manner, says Lars Karnøe at Potter Clarkson.