Fraud Newsletter 44 – June 2020
[su_spoiler title=”CASES” open=”yes” style=”default” icon=”plus” anchor=”” class=””]
Civil trial: LPP lost on limited waiver of privilege re documents provided by Barclays and used by SFO at criminal trial. LPP also lost on advice after reliance on lawyers’ clearance of what was proposed: PCP Capital Partners v Barclays  EWHC 1393 (Comm).
Defence affidavits provided not under compulsion in disqualification proceedings re Ponzi fraud available at common law to SFO prosecuting the same matter: Official Receiver v Skeene  EWHC 1252 (Ch) (Westlaw).
Search Warrant: Standard Practice requires applicants to exercise scrupulous care; direct judge to the issues and case law; provide a short skeleton filed in advance: Ashbolt v HMRC  EWHC 1588 (Admin).
International Co-Operation and UK Search Warrant: appropriate measure to be used are a matter for the law enforcement agency assigned by the UK Central Authority: R(Terra Services Ltd) v NCA  EWHC 1640 (Admin).
Principles and guidance on retention, copying and disclosure of complainant’s digital records set out: Bater-James  EWCA Crim 790 §§ 65-100.
[su_spoiler title=”SENTENCING AND CONFISCATION” open=”no” style=”default” icon=”plus” anchor=”” class=””]
Acquisition in good faith without notice s308 POCA: receipt of assets from a domestic partner known to be a convicted fraudster can put a reasonable person on notice and amount to constructive notice that the assets stemmed from the proceeds of crime. NCA v Odewlae and Yadav  EWHC 1609 (Admin).
[su_spoiler title=”BILLS, STATUTES & SIs” open=”no” style=”default” icon=”plus” anchor=”” class=””]
Commission Delegated Regulation (EU) 2020/855 deletes Bosnia-Herzegovina, Ethiopia, Guyana, Lao People’s Democratic Republic, Sri Lanka, Tunisia, and adds Bahamas, Barbados, Botswana, Cambodia, Ghana, Jamaica, Mauritius, Mongolia, Myanmar/Burma, Nicaragua, Panama and Zimbabwe to the list of countries with strategic AML/ CTF deficiencies.
[su_spoiler title=”CONSULTATIONS, GUIDANCE, CIRCULARS AND REPORTS” open=”no” style=”default” icon=”plus” anchor=”” class=””]
Asset recovery and confiscation: Ensuring that crime does not pay: EU Report COM (2020) 217 final: 2 Jun 20.
Report on FCA’s decision not to investigate fraud in motor insurance industry: Complaint’s Commissioner 12 May 20 (published 2 Jun 20): criticism at §9 – “There is a persistent tendency in the FCA . . . to give the impression that fraud is not a matter in which it has an interest.”
Ruby Hamid, Ashursts: 1 Jun 20.
Private Prosecutions: Safeguards: Inquiry into adequacy of safeguards preventing miscarriages of justice in private prosecutions. Written submissions by 1 July ! HoC Justice C’tee. Summary: 24 June 20.
Global mapping of anti-corruption agencies: Analysis Report: AFA (Agence-Française-Anticorruption) 14 May 20.
Nothing to see here? Middle-men in the UK and Spain are falling short of anti-money laundering requirements: Transp Internat: 12 Jun 20
De La Rue investigation closed – failure to meet relevant test for prosecution. SFO 16 June 20.
German Wirecard (i) CEO reigns over missing £1.6B cash currently untraceable: FT 19 June 20. (ii) the £1.9B may not exist; 22 June (ii) CEO arrested: 23 June; (iii) files for insolvency owing £3.5B: shares drop 80% – Wirecard valued at €24B 2 years ago. 25 Jun. 20. FCA imposes requirements on UK Subsidiaries: 26 Jun 20. UK subsidiaries
[su_spoiler title=”NEWS” open=”no” style=”default” icon=”plus” anchor=”” class=””]
Criminal complaint filed against Danske Bank by FSA (Denmark’s Financial Supervisory Authority) for failing to have adequate systems in place to prevent market manipulation by “wash” trades and market abuse: Reuters: 10 June 20.
Commerzbank London fined £37.8m (30% discount) for inadequate AML risk management systems over 5 years: FCA Final Notice: 17 June 20.
launched: 5 June 20: EUROPOL.