Fraud Newsletter 67 – May 2022
ENRC v Dechert LLP & SFO:  EWHC 1138 (Comm). Executive Summary of Judgment; Appendix 1 (Chronology); Appendix 2 (Dramatis personae): civil judgement against SFO and Dechert re ENRC investigation.
s59 CJPA 2001 (regularisation of unlawful seizure) applies to search warrants under mutual legal assistance as well as domestic warrants: Helligger v Westminster JJ  EWHC 1056 (Admin)
SENTENCING AND CONFISCATION
Misconduct in Public Office: 3 years upheld for civilian digital forensic expert working for police transferring (not distributing) 700k of images of crime scenes, murder victims etc: Collins  EWCA Crim 742.
BILLS, STATUTES & STATUTORY INSTRUMENTS
Economic Crime (Transparency and Enforcement) Act 2022 (Commencement No. 1) Regs 2022 (SI 2022/519) bringing into force as from 15 May 22 Part 2 of the Act (re UWO regime)
CONSULTATIONS, GUIDANCE, CIRCULARS AND REPORTS
A-G Guidelines on Disclosure 2022: Revised and in effect from 25 Jul 22: 26 May 22
Bribery and Corruption in trade: reducing the risk: FCD/DIT: 20 May 22. Refers to:
- Bribery Act Guidance (2012)
- OECD guide for Conducting Due Diligence (2018)
- Good Practice Guidelines on Conducting Third-Party Due Diligence: World Economic Forum (2013)
- Diagnosing Bribery Risk: Int. (2013)
National Assessments of Money Laundering Risks: Learning from 8 Advanced Countries’ NRAs (National Risk Assessments): World Bank: May 22: a critique of NRA methodology.
Judicial Review of Deferred Prosecution Agreements: A Comparative Study: 60 CJLT 751- 828: Frederick T Davis: 21 May 22 (re US, UK and French DPAs).
- 3 Fraudsters sentenced for scamming the taxpayer out of over £1m: VAT repayment fraud: 20 May 22
- Insider dealing trial – hung jury: FCA considering a retrial: 25 May 22
- 5 banned and fined over £1m for causing over £50m losses to pension customers by acting either dishonestly or recklessly: 9 May 22. Judgment –  UKUT 00124 (TCC).
- ‘Sharing my screen cost me £48k’ – half of investors would miss signs of screen sharing scam as FCA warns of 86% increase: 5 May 22
- First SFO trial of 2022 results in double conviction re £37m fraudulent green investment scheme in Brazil: 31 May 22
- 2nd fraudster jailed over fake investment scheme re £72.5m false supply of services to Olympic village: 27 May 22
- Glencore Energy (UK) charged with 7 counts of bribery: company indicated it would plead guilty: 24 May 22. For reports as to US disposition -see under Abroad below.
- UK used ‘deniable fiddle’ to hide £60m of payments to Saudis, court told: Guardian 9 May 22
- ENRC secures partial High Court win against [SFO], Dechert and ex-partner: Law Soc Gaz. 16 May 22 (see Cases above)
- ‘Ponzi style’ conman jailed for failing to repay victims of £72m fraud: 6 years imprisonment for failure to pay £1.4m compensation: Guardian: 27 May 22
- How a Miami ‘fixer’ got his hooks into Britain’s white collar crime agency: Telegraph (paywall): 28 May 22
- Almost two thirds of UK organisations have fallen victim to fraud in the last 2 years: PwC report: 26 May 22: PwC’s Global Economic Crime and Fraud Survey
- PSR (Payment Systems Regulator) plans to make more financial firms provide Confirmation of Payee (CoP) to 99% coverage by 30 June 23: PSR: 24 May 22
- KPMG fined £3.4m over ‘serious failures’ in Rolls-Royce audit: Guardian: 24 May 22
- KPMG to be fined £14m for forging documents over Carillion audit: Guardian: 12 May 22. (Currently being sued by Official Receiver for £1.3B re Carillion: Guardian 3 Feb 22)
- COVID-19: ‘Eye-watering’ fraud levels in loans missed by government, says watchdog: Sky News: 19 May 22
- New benefit counter-fraud plan set to save taxpayer £2 billion: DWP: 19 May 22: Policy Paper –Fighting Fraud in the Welfare System: Plans to spend £613m over 3 years in front-line counter-fraud professionals, boost access to bank data, and give DWP investigating officers powers of arrest.
- Brits not researching their investments because it’s “time consuming” and “complicated“: FSCS (Financial Services Compensation Scheme) with FCA: 18 May 22
- Online fraud checker to help protect investors – Bank & Savings protection checker; Pension protection checker; Investment protection checker: FSCS (Financial Services Compensation Scheme): 18 May 22
- Anti-Money Laundering and Counter-Terrorist Financing Guidance for the Accountancy Sector 2022: CCAB: 17 May 22
- Fraudster paralegal took £438,000 from firm to spend on gambling: Law Soc. Gaz. 16 May 22
- Government approach to authorised push payment scam reimbursement by legislating for reimbursement for APP scams: HM Treasury: 10 May 22
- Abacha millions recovered by NCA: $23.4m recovered enforcing US recovery order: NCA 5 May 22
- James Stunt among 8 accused of £266m Bradford money-laundering scam: BBC News 3 May 22
- TV couple who helped dementia faker in £734k care bill plead guilty: Times of Bristol: 2 May 22
EU & ABROAD:
- Glencore to pay $1bn settlement amid US bribery and market abuse allegations: Guardian 24 May 22; details in US Commodity Futures Trading Commission Release No 8534-22 and CFTC Chairman’s remarks: 24 May 22. Order and Findings: CFTC Docket No 22-16