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Corporate Crime & Compliance UK
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May 13, 2025
FCA Reports Progress On Misconduct MoU With China
The City watchdog has said it is working on a memorandum of understanding with the National Financial Regulatory Administration in China to help detect misconduct early.
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May 13, 2025
JPMorgan Challenges VTB's Russian Suit Over Frozen $156M
JPMorgan Chase & Co. asked a London court on Tuesday to prevent Russian state-owned VTB Bank PJSC from bringing a $156 million case in Russia over allegedly frozen funds, arguing that it had launched its claims in breach of an agreement to arbitrate in England.
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May 12, 2025
10 Convicted For Roles In €2.9B VAT Fraud, Prosecutors Say
A Portuguese court convicted 10 people for their roles in a massive value-added tax fraud scheme involving sales of electronic goods, with overall damages believed to approach €2.9 billion ($3.2 billion), the European Public Prosecutor's Office said Monday.
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May 12, 2025
Wells Fargo Whistleblower Claims Redundancy Was A Sham
A former compliance officer at Wells Fargo asked the Employment Tribunal on Monday to order the bank to reinstate him, based on what he described as clear evidence that he was dismissed after he blew the whistle on alleged market abuse.
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May 12, 2025
ICBC Bank Sued Over €795K Fraudulent Transfer By Hacker
A company has sued ICBC Standard Bank for allegedly transferring €795,000 ($894,000) out of its account on the instructions of an alleged hacker impersonating its director, saying that the lender is liable to refund it in full.
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May 12, 2025
Bulgarians Get 50 Years For Spying In UK For Russia
Six Bulgarians were sentenced to a combined total of 50 years in prison on Monday for taking part in a U.K.-based spy ring that conducted surveillance operations on high-profile targets across Europe on behalf of Russia.
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May 12, 2025
Investment Biz Boss Sues Refinitiv Over Incorrect KYC Info
The chief executive of an investment business has sued data and analytics giant Refinitiv for allegedly holding inaccurate information on its "know-your-client" database that incorrectly stated that her company was associated with a sanctioned individual.
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May 09, 2025
Ex-Meinl Bank CEO Extradited To US On $170M Odebrecht Rap
The former CEO of Austrian lender Meinl Bank AG was extradited from the U.K. and pled not guilty Friday to money laundering charges, stemming from allegations that he helped Odebrecht SA hide $170 million in funds used to bribe officials around the world and defraud the Brazilian government.
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May 09, 2025
Brokerage Risk Pro Loses Early Battle In Whistleblowing Case
An employment judge has rejected a compliance manager's bid for interim relief in a row with her former employer because he did not consider it likely that a tribunal will decide she was fired from the brokerage for making protected disclosures.
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May 09, 2025
Businessman Says $43M Debt Claim Is Plot To Seize Shares
A businessman can intervene in a 194 million Romanian leu ($43 million) debt claim he alleges is part of a fraudulent scheme to acquire his shares in a scrap-metal trading company for free, an appeals court has ruled.
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May 09, 2025
UK Litigation Roundup: Here's What You Missed In London
This past week in London has seen a subsidiary of State Street Corp. sue British sports betting giant Entain, Manolete Partners and HSBC tackle action just weeks after signing a £17 million revolving credit facility agreement, and a commercial fraud claim launched by EFG Bank against Mirabaud & CIE.
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May 09, 2025
Dyson Loses Bid To Take Forced Labor Claim To UK Top Court
Dyson will fight claims in England that it did nothing about allegations of forced labor at Malaysian factories making components for the appliance manufacturer after the U.K.'s highest court refused it permission to challenge jurisdiction in the case any further.
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May 09, 2025
Nigeria Can Argue £15M Award Was Obtained By Fraud
Nigeria can attempt to set aside a $15 million award in favor of a businessman who was the target of an undercover operation by the country's state security, after a London judge dismissed his bid to strike the case out.
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May 09, 2025
Brothers Plead Guilty To FCA Insider Dealing Charges
Two brothers admitted on Friday to using inside information to profit from dealing in shares over four years, following a prosecution brought at a criminal court in London by the Financial Conduct Authority, the watchdog said.
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May 09, 2025
EU Fund Managers Call To Simplify EU Sustainability Package
Europe's fund managers on Friday backed the European Union's bid to streamline the bloc's sustainability regulations, but warned "excessive" reductions in reporting requirements could limit investors' access to crucial environmental, social, and governance data.
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May 09, 2025
'Bargain Hunt' Art Expert Pleads Guilty To Terrorist Financing
An art gallery founder and reality TV art expert pleaded guilty to terrorist financing offenses at a London criminal court Friday.
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May 08, 2025
Court Upholds CMA's £99M Thyroid Drug Price Fines
A U.K. appellate court has not only upheld a finding that drug company Advanz excessively inflated the price of its thyroid tablets for the National Health Service but also reimposed fines against the company's former owner that a lower tribunal had cut by almost a third.
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May 08, 2025
'Bargain Hunt' Art Dealer Charged Under Terror Financing Law
Police charged an art dealer who featured in a hit BBC show under laws against financing terrorism on Thursday, making him the first person ever to face charges in the U.K. for allegedly failing to make obligatory regulatory disclosures.
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May 08, 2025
UK Watchdog Fines Fuel Trader For Ignoring Info Request
The U.K. government body responsible for implementing and enforcing financial sanctions said Thursday that it has fined a British shipping company for ignoring a request to provide information relating to a "large and complex investigation" involving Russia's largest shipping company.
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May 08, 2025
Crypto Traders Seek To Revive Part Of £10B Binance Claim
A group of investors asked the Court of Appeal on Thursday to revive their claims against Binance on the basis that its delisting of a cryptocurrency caused them damage, saying a lower tribunal was wrong to toss out its "loss of chance" argument.
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May 08, 2025
Bulgarian Who Spied For Russia Was Not 'Anti-West'
The ringleader of a group of people who spied on behalf of Russia is not an "anti-Western ideologue" but merely somebody who is willing to work for whoever hires him, his barrister told a sentencing hearing on Thursday.
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May 08, 2025
Tribunal Clears CPS In Legal Adviser's Discrimination Case
The Crown Prosecution Service did not discriminate against a former legal adviser by giving him formal warnings about his attendance after multiple spells of sickness absence, a tribunal has ruled.
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May 08, 2025
FRC Bans Former Finance Head Of Bankrupt Local Council
The audit watchdog said Thursday it has banned the former chief financial officer of a bankrupt English local authority from the accounting profession for five years for overseeing a risky investment strategy worth £1 billion ($1.3 billion).
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May 07, 2025
Sentencing Begins For Bulgarians Who Spied For Russia
The leader of a group of Bulgarians who spied for Russia would always try to "service" the needs and requests of his "paymasters" at the Kremlin, a prosecutor said on the first day of the spies' sentencing Wednesday.
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May 07, 2025
Finance Trade Body Warns AI Can Amplify Misconduct Risk
A U.K. trade body for financial firms warned a group of members of Parliament at a hearing Wednesday that artificial intelligence amplifies the risk that banks could screen out unwanted customers without anyone knowing, in defiance of the Consumer Duty.
Expert Analysis
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How UK Supreme Court May Assess Russia Sanctions Cases
In two recent U.K. Supreme Court cases challenging the U.K. Russia sanctions regime, the forthcoming judgments are likely to focus on proportionality and European Convention on Human Rights compatibility, and will undoubtedly influence how future challenges are shaped, says Leigh Crestohl at Zaiwalla.
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How EU Digital Act Could Shape UK Technology Disputes
Noncompliance with the recently effective European Union Digital Operational Resilience Act will add layers of complexity to disputes and litigation for U.K.-based firms servicing EU entities, but international standards may serve as a bridge between jurisdictional and contractual misalignments, says Siobhan Forster at Alvarez & Marsal.
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Key Findings From EU Report On Antitrust Remedies
Although the European Commission’s recent report assessing the effectiveness of its antitrust policy on behavioral remedies is not binding, it may influence future cases and promote coherence, providing useful insights for national competition authorities and courts when considering remedies in their own jurisdictions, say lawyers at Paul Weiss.
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How Foreign Cos. Should Prep For New UK Fraud Law
As the U.K. prepares to hold companies criminally liable for failing to prevent fraudulent acts of their associates, U.S. and global companies should review their compliance measures against the broad language of this new offense, which could permit prosecution of acts committed entirely abroad, say attorneys at Latham & Watkins.
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Opinion
EU's AI Code Of Practice Creates Risk Of Regulatory Clashes
The second draft of the European Commission's Artificial Intelligence Code of Practice significantly expands beyond the European Union's existing legal framework for AI — especially around copyright protection, public transparency and reporting obligations — and risks interfering with other EU laws by introducing requirements contrary to existing regulations, say lawyers at MoFo.
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Ruling In SFO Case Shows How Contract Rules Apply To DPAs
The Court of Appeal’s recent decision upholding the Serious Fraud Office's first-ever attempt to enforce an expired deferred prosecution agreement illustrates that the courts' approach to DPAs is governed by the rules of contract, and that the intention of the parties at the time of agreement is critical to contract interpretation, say lawyers at Simmons & Simmons.
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What To Know About Compliance As EU AI Act Takes Effect
Raj Shah at Mishcon de Reya explains how recently effective provisions of the European Union Artificial Intelligence Act, which concern prohibited AI practices and AI literacy, will affect both providers and users of AI systems, and suggests steps that companies can take now to plug any compliance gaps.
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Banker Remuneration Proposals Could Affect More Than Pay
The Financial Conduct Authority and Prudential Regulation Authority’s pending proposals to reduce banker remuneration restrictions bring obvious personal financial advantages for bankers, but may have repercussions that result in increased scrutiny of bonus payments and wider changes to workplace culture and overall accountability, say lawyers at Fox Williams.
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Rethinking 'No Comment' For Clients Facing Public Crises
“No comment” is no longer a cost-free or even a viable public communications strategy for companies in crisis, and counsel must tailor their guidance based on a variety of competing factors to help clients emerge successfully, says Robert Bowers at Moore & Van Allen.
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EU Report May Influence Regulation Of Decentralized Finance
The European supervisory authorities’ recent report on decentralized finance highlights the major regulatory challenges and increased cybersecurity risks of this ecosystem, and will likely provide useful guidance on how the market could be regulated to limit potential risks for investors, say Hubert de Vauplane and Hugo Bordet at Morgan Lewis.
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EU Paper Urges Data Protection And Competition Law Unity
A recent European Data Protection Board position paper calls for closer cooperation among data protection and competition authorities, and provides valuable insight for businesses seeking to ensure compliance across an increasingly complex regulatory landscape, say lawyers at Paul Weiss.
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Market Infrastructure Regs Aim To Reinvigorate EU Trading
The recently amended European Market Infrastructure Regulation, imposing a requirement on certain financial and nonfinancial institutions to maintain an active EU counterparty account, hopes to incentivize the central clearing of trades, although there are concerns that higher compliance costs will lead to a decrease in competitiveness, say lawyers at McDermott.
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The Pros And Cons Of A 2nd Trump Term For UK Tech Sector
While U.S. President Donald Trump’s protectionist stance on trade could disrupt global supply chains on which many U.K. tech firms are reliant, anticipated deregulation could provide fertile ground for investment and growth, and the U.K. tech sector is bracing for a mix of opportunities, say lawyers at Shoosmiths.
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Why EU Omnibus Package Is Receiving Mixed Reactions
Although the forthcoming European Union omnibus simplification package consolidating corporate sustainability reporting requirements aims to reduce the regulatory burden on businesses, reaction to the proposals has been mixed, and reassurance is needed that these measures will not result in a watering down of the legislation, say lawyers at Peters & Peters.
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Review Of Computer Evidence Use Raises Complex Issues
The Ministry of Justice’s recent call for a review of computer-generated evidence used in criminal proceedings, solicits questions of how such evidence will be defined while also ensuring that changes can withstand technological advances and uphold the effective functioning of the criminal justice system, say lawyers at BCL Solicitors.