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Corporate Crime & Compliance UK
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October 28, 2024
CE Energy Seeks To Keep Asset Freeze On Oil Trader Owner
An oil trading company asked a London court on Monday to continue a freezing order against a Nigerian businessman as it fights to recover around £30 million ($39 million) that it says the founder of a rival oil trader has failed to pay.
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October 28, 2024
Tommy Robinson Imprisoned For Contempt Of Court
Far-right activist Stephen Yaxley-Lennon was sentenced to 18 months in prison at a London criminal court on Monday for breaching a court order 10 times by republishing false allegations against a Syrian schoolboy refugee.
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October 28, 2024
Wise Boss Hit With FCA Fine For Not Disclosing Tax Penalty
The finance regulator said on Monday that it has fined the chief executive of a money transfer company £350,000 ($454,500) for his failure to tell the watchdog he had been penalized by HM Revenues and Customs for not paying his taxes.
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October 25, 2024
Barclays Slashes £330M From UK Investors' 'Dark Pool' Claim
Barclays on Friday won its bid to more than halve the value of a £560 million ($726 million) securities fraud claim brought by investors at the High Court in London based on allegations it misled them about its "dark pool" trading platform.
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October 25, 2024
Close Brothers Lose Appeal In Landmark Motor Finance Case
Close Brothers Ltd. and other motor finance lenders must fully disclose commissions charged to customers taking out a car loan, or face repaying the secret fee, a London appeal court ruled Friday in a landmark test case.
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October 25, 2024
'Business Guru' Denies Claim Of £5.6M Ponzi Scheme
A self-styled "business guru" has hit back at a £5.6 million ($7.3 million) fraud claim in the High Court, denying running a Ponzi scheme and duping an investor into funding a bogus loan scheme for a luxury hotel development.
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October 25, 2024
UK Litigation Roundup: Here's What You Missed In London
This past week in London has seen the Competition and Markets Authority take action against a mattress retailer after it was caught pressuring its customers with misleading discounts, Lenovo and Motorola target ZTE Corporation with a patents claim, Lloyds Bank hit by another claim relating to the collapse of Arena Television and U.K. tax authority HMRC sued by the director of an electronics company that evaded millions of pounds in VAT. Here, Law360 looks at these and other new claims in the U.K.
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October 25, 2024
Lloyds Hit With Fraud Claim By Collapsed Broadcast Co.
Lloyds Bank PLC has been sued by liquidators of a broadcasting equipment company in the latest legal claim to be filed against the bank by parties related to the collapse of Arena Television amid fraud allegations.
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October 25, 2024
Baker McKenzie Lawyer Fined For Refusing Breathalyzer Test
A Baker McKenzie lawyer who was convicted for refusing to take a roadside breath test after being pulled over by the police was fined £2,500 ($3,250) by the Solicitors Disciplinary Tribunal on Friday.
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October 25, 2024
BHP, Vale Reach $32B Brazil Dam Settlement Amid UK Trial
Mining giant BHP announced Friday that the Brazilian government has signed off a final $31.7 billion settlement package to compensate communities devastated by the collapse of a dam nine years ago.
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October 25, 2024
Home Office Launches New Crackdown On Insurance Fraud
A string of leading insurance organizations have agreed to clamp down on criminal attempts to manipulate the U.K. insurance market with fake claims, among a range of other pledges included in a government charter designed to tackle fraud in Britain.
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October 25, 2024
Fraud Lawyers Take On Bullying Cases As Complaints Surge
White-collar criminal lawyers are picking up more and more work investigating allegations of non-financial misconduct inside the world's biggest companies, amid a sharp rise in incidents reported by the City watchdog ahead of an impending crackdown.
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October 25, 2024
FCA Sets Consumer Duty As Top Priority For CEOs In 2025
The Financial Conduct Authority told CEOs of retail banks and other lenders in letters published Friday it will give a top priority to the Consumer Duty regime in 2025, focusing in addition on fair claims about sustainable products and managing financial crime risk.
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October 25, 2024
Commerzbank Can Pursue Staffer For Fake Sex Assault Claim
A London court ruled Friday that a former Commerzbank AG analyst will face contempt of court proceedings after making false sexual assault allegations against a colleague as part of his failed harassment case against the bank.
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October 25, 2024
Pensions Watchdog Wants Tougher Action Against Scammers
The Pensions Regulator has urged retirement savings plans to take action to protect savers from scams as part of Scams Awareness Week, with a video campaign featuring a victim.
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October 24, 2024
LinkedIn Hit With €310M Irish Fine For Targeted Ad Practices
Ireland's data protection commission has handed down a €310 million ($335 million) penalty against LinkedIn for allegedly failing to have an adequate legal basis for processing European Union users' personal data for targeted advertising purposes, the regulator announced Thursday.
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October 24, 2024
FCA Finds Reports Of Bullying, Harassment Up Over 3 Years
The Financial Conduct Authority on Friday said it has recorded a steady rise in nonfinancial misconduct reports over the past three years, including bullying, harassment and discrimination across banks, asset managers and insurers.
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October 24, 2024
Heineken Faces €160M Claim After Dutch Market Abuse Ruling
Heineken was held jointly liable for its Greek subsidiary abusing its dominant position to hold back competitors by a Dutch court, paving the way for a rival brewery to press home its over €160 million ($173 million) antitrust claim against the beer giant.
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October 24, 2024
Union Threatens First-Ever Private Case Over Museum Strike
A trade union threatened on Thursday to launch a private prosecution against the security contractors for London's Science and Natural History museums if they hire agency workers to replace workers who plan to strike during the busiest week of the year.
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October 24, 2024
EU Court Upholds Annulment Of Intel's €1B Antitrust Fine
Computer chip giant Intel Corp. has beaten the European Commission's €1.06 billion ($1.14 billion) fine against it after the European Union's highest court ruled that a lower court could invalidate the EU administrative arm's conclusions, ending a long-running legal battle over the 2009 fine.
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October 24, 2024
UK Corporate Register Warns Of AI Threat To Enforcement
Britain's corporate register said Thursday in its first-ever strategic intelligence assessment that it will use identity verification to help clamp down on the abuse of company formations by criminals and money launderers, but that artificial intelligence poses a threat to enforcement.
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October 24, 2024
Russian Airline Kept Jets To Avoid Unrest, Lessor Exec Says
A Siberian regional airline had to retain leased aircraft after the Russian invasion of Ukraine to avoid "social unrest," an executive for one of the aircraft lessors suing their insurers told a London trial Thursday.
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October 24, 2024
Watchdog Finds Inadequacies In Consumer Credit Firms
The Financial Conduct Authority has found in a multifirm review that most consumer credit firms and nonbank mortgage lenders lack a clear view of the financial resources they consider adequate, making risk management difficult.
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October 31, 2024
Bird & Bird Taps Dutch Financial Regulation Pro
Bird & Bird LLP has hired an experienced financial regulation expert as a partner in The Hague, as the law firm looks to bolster its finance practice in the Netherlands and across Europe.
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October 24, 2024
FCA 'Finfluencers' Crackdown May Prove More Bark Than Bite
The Financial Conduct Authority's criminal prosecutions of finfluencers who might be illegally promoting unauthorized investments is likely to have only limited deterrence if overseas firms can simply ignore British rules with online offerings, according to lawyers.
Expert Analysis
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AI Tools Could Enhance UK Gov't Public Services Strategy
The government’s recently announced intention to pilot artificial intelligence tools in routine policy work is part of a wider strategy to revolutionize the delivery of public services, and could improve productivity and create efficiencies, provided it is mindful of the potential risks involved, say attorneys at Akin.
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Taking Stock Of The Latest Criminal Court Case Statistics
The latest quarterly statistics on the type and volume of cases processed through the criminal court illustrate the severity of the case backlog, highlighting the need for urgent and effective investment in the system, say Ernest Aduwa and Jessica Sarwat at Stokoe Partnership.
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ICO Data Protection Guidance Offers Clarity On Fining Powers
New guidance from the Information Commissioners' Office is designed to offer transparency about its fining powers, and, combined with the office's wide-ranging enforcement authority, clearly intends to ensure breaching companies concentrate on the external harm they cause and not only internal changes, say Robert Allen and Amelia Handoll-Clark at Simmons & Simmons.
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Hugh Grant Case Raises Questions About Part 36 Offers
Actor Hugh Grant's recent decision to settle his privacy suit by accepting a so-called Part 36 offer from News Group — to avoid paying a larger sum in legal costs by proceeding to trial — illustrates how this legal mechanism can be used by parties to force settlements, raising questions about its tactical use and fairness, says Colin Campbell at Kain Knight.
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Investment Security Act Fine-Tune May Help Businesses
Although the government’s recent response to feedback on the National Security and Investment Act regime makes it clear that its approach is one of fine-tuning and substantial reforms will have to wait, there is still room to ease the burden on businesses by issuing guidance and refining the terms of mandatory area definitions, say lawyers at Linklaters.
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How New FCA Rules Strengthen Borrower Protections
The Financial Conduct Authority’s recently published final rules, aimed at strengthening protections for borrowers in financial difficulty by regularizing good practices across the industry, put its previous guidance on a permanent footing and send a clear message to firms that this issue remains a regulatory priority, say James Black, Julie Patient and Mark Aengenheister at Hogan Lovells.
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How Cos. Can Prepare For EU's Forced Labor Regulation
Before a new European Union regulation takes effect banning products made with forced labor from the internal market, economic operators will need to get their supply chain compliance functions ready, familiarizing themselves with international standards and case law, say Vassilis Akritidis and Jean-Baptiste Blancardi at Crowell & Moring.
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Opinion
New Property Category Not Needed To Regulate Digital Assets
The U.K. Law Commission's exploration of whether to create a third category of property for digital assets is derived from a misreading of historical case law, and would not be helpful in resolving any questions surrounding digital assets, says Duncan Sheehan at the University of Leeds.
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FTSE Draft Rules Show Impact Of FCA Listing Reforms
FTSE Russell’s recently published provisional rule changes represent a much-awaited indication of its response to the U.K. Financial Conduct Authority’s proposed listing reforms, providing a level of certainty that will assist issuers and advisers in preparing for the implementation of the regime, say lawyers at Davis Polk.
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FCA Strikes A Balance With 'Finfluencer' Guidance
With financial firms leveraging social media to engage with a broader audience, the Financial Conduct Authority’s recent "finfluencer" guidance signals a recognition of the imperative to adapt regulatory frameworks while maintaining a firm commitment to consumer protection, say David Allinson and Damien O'Malley at RPC.
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Pharma Remains A Key Focus Of EU Antitrust Enforcement
The recently published European Commission report on pharmaceutical sector competition law illustrates that effective enforcement of EU rules remains a matter of high priority for EU and national authorities, say lawyers at Dechert.
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Dissecting Recent Developments Against The Misuse Of NDAs
The U.K. government's recent plans to nullify nondisclosure agreements that prevent victims from reporting crimes should remind lawyers to proactively consider the necessity of such agreements, especially in light of the Solicitors Regulation Authority's warning notice on drafting improper NDAs, say Clare Davis and Macaela Joyes at RPC.
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What UK Energy Charter Treaty Exit Would Mean For Investors
While the U.K.'s recent announcement that it intends to withdraw from the Energy Charter Treaty is a bold political signal, investor protections will remain in place for a significant period of time, ensuring that an element of certainty and business continuity will remain, say Karel Daele and Jessica Thomas at Taylor Wessing.
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Assessing The FCA Data Study's Response To User Concerns
The Financial Conduct Authority’s recently published report on the supply of wholesale financial data differs from others in its exceptional breadth and analysis of an enormous volume of information, but in its reluctance to address market power or pricing directly, the regulator’s approach is still cautious, say Emma Radcliffe and Greg Dowell at Macfarlanes.
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Uber Payout Offers Employer Lessons On Mitigating Bias
Uber Eats' recent payout to a driver over allegations that the company's facial recognition software was discriminatory sheds light on bias in AI, and offers guidance for employers on how to avoid harming employees through the use of such technology, says Rachel Rigg at Fieldfisher.