Fraud Newsletter No. 86 December 2023

January 2, 2024
Cases

S4(1)(c) Fraud Act – meaning of intent and Brown direction: Ames [2023] EWCA Crim 1463.

Misconduct in public office: Ali [2023] EWCA Crim 1464: “a public officer acting as such” need not be on duty at the time, provided sufficient nexus to the office: fact specific.

Entain PLC: DPA and Summary of Judgment: 5 Dec 23. See also under NEWS – CPS (below).

Newcastle United FC v HMRC [2023] EWHC 3021 (Admin): HMRC not required to return or delete copies of documents seized under s22 PACE (which is limited to originals only). Sharing of copies subject to public law considerations.

Morjaria v Westminster Magistrates’ Court [2023] EWHC 2936 (Admin) [Westlaw]: abuse of process available where dominant and primary motive in issuing summons for conspiracy to defraud was to exert leverage to settle concurrent civil proceedings.

Sentencing & Confiscation

R (Kingdom Corporate Ltd) v HMRC [2023] EWHC 3315 (Admin): it is not unlawful to re-seize cash which had previously been lawfully seized under s294 POCA.

Bills, Statues & SIs

ML and Terrorist Financing (Amendment) Regulations 2023 SI 2023 No 2371 clarifying distinction between domestic and foreign PEPS: Explanatory Memo.

Data Protection and Digital Information Bill: Letter from Mel Stride, DWP SoS: 30 Dec 23 denying the bill empowers HMG to access pensioners’ accounts; but requires third parties to examine their own data and report suspected fraud.

Guidance, Circulars, Reports and Consultations

A hostage to fortune: ransomware and UK national security: 1st Report of Session 2023-24. HoC/HoL Joint C’tee on National Security Strategy. HC 194, HLP 23: 13 Dec 23.

Red Alert: Exporting High Risk Goods and related services: NCA/ OFSIHMT / NECC / JMLIT: 6 Dec 23: Press Release: UK warns of Russia attempting to circumvent sanctions to purchase restricted goods and services: NCA: 6 Dec 23

2023 Payment Threats and Fraud Trends Report: European Payments Council: 6 Dec 23.

Cyber Security Strategy: 2023-2028: MoJ: 5 Dec 23.

HM Treasury Advisory Notice: High Risk Third Countries: update: 4 Dec 23.

Final Report on Amending Guidelines on Risk-Based Supervision under Article 48(10) of Directive (EU) 2015/849: EBA/GL/2023/7: 27 Nov 23 – extending AML/CFT supervision to crypto-asset services providers (CASPs).

News

Post Office Horizon IT inquiry: Recordings, transcripts, reports, evidence and key documents etc available on the POHITI website.

Vol 2 Revised Report – detailed analysis of 22 cases: 18 Dec 23.

CPS:

Fraudster forced to pay back £1m to victims: 18 Dec 23.

First ever CPS DPA for £615m re historic activities in Turkey 5 Dec 23. Background: see iGB report 24 Nov 23. For DPA and Summary of Judgment see Entain (Cases above). Review of Gambling Commission fines 2016-23: Online Betting

FCA:

MoU between OFSI and FCA: 21 Nov 23 replacing earlier MoU re information, data sharing etc.

NCA:

• Banker charged with bribery: 18 Dec 23.

SFO:

•£266m Caribbean development fraud conviction upheld: see Ames above.

UK fraud watchdog must pay damages to miner ENRC, court rules: Reuters: 21 Dec 23.

• Draft SI – NCA (Directed Tasking) Order 2023 empowers NCA to direct SFO to conduct an investigation re “serious or complex fraud”.

2nd conviction of solar panel fraudster: 14 Dec 23.

AOG Technics: UK fraud body makes arrest in aircraft parts probe: BBC News: 7 Dec 23.

£450k in confiscation and costs from CEO and a senior executive behind global Balli Steel fraud: 1 Dec 23.

Home

Ex Goldman analyst on trial denies knowingly possessing inside information: F.T.: 5 Dec 23.

Robert Courts appointed Solicitor General: 7 Dec 23.

New unit to crack down on firms dodging Russian sanctions – the Office of Trade Sanctions Implementation (OTSI): 11 Dec 23.

New Anti-Fraud Champion appointed to help ‘turn the tide’ on fraudsters – Simon Fell MP replacing Anthony Browne MP: Police Prof: 14 Dec 23.

Police ‘check £95K car bought by Peter Murrell’ in SNP cash probe: Herald: 10 Dec 23.

UAE extradites British trader Sanjay Shah to Denmark re £1.4B “cum-ex” fraud: BBC News: 6 Dec 23: related ruling Skatteforvaltningen v Solo Capital Partners LLP [2023] UKSC 40: SC Press Summary 8 Nov 23].

Preacher loses appeal over Covid fraud conviction for selling “plague protection oil”: BBC news: 20 Nov 23: Wiseman [2023] EWCA Crim 1363.

Abroad

Sam Bankman-Fried: Convicted ‘Crypto King’ will not face 2nd trial: BBC News 30 Dec 23

Former Swiss Executive Pleads Guilty to Tax Fraud Conspiracy – concealing $60m of US high net worth client assets: DoJ: 21 Dec 23

Nikola: Trevor Milton sentenced to prison after fraud conviction – Nikola once valued at $20B: BBC News 19 Dec 23

Businessman who tried to buy Sheffield United accused of ‘elaborate’ fraud: Guardian 19 Dec 23.

UK Citizen Extradited to Face Charges in $99 M Wine Fraud: DoJ: 16 Dec 23. Indictment.

Vatican court convicts Cardinal Becciu (former Popal adviser) of financial crimes – sentenced to 5½ years imprisonment: BBC News: 16 Dec 23.

Wirecard’s former chief financial officer charged with fraud: F.T.: 14 Dec 23.

Deal reached on the EU’s money-laundering watchdog AMLA: EU Parliament: 13 Dec 23.

Hunter Biden faces 2nd federal indictment, this time on tax evasion and Hunter Biden’s tax indictment: Drugs, escorts and girlfriends: BC News: 8 Dec 23. California Indictment.

Trafigura sets aside $127 m provision for Brazil, US DOJ fine: Reuters: 6 Dec 23: Trafigura and ex CEO also charged in Switzerland re unlawful payments to Angolan energy co: City am: 6 Dec 23.

Banque Pictet Admits Conspiring with U.S. Taxpayers To Hide Assets & Income In Offshore Accounts: agrees to pay $122.9M: DoJ: 4 Dec 23. US DPA: 16 Nov 23.

Judge rejects Trump’s immunity claim in 2020 election case: presidency “does not confer a lifelong ‘get-out-of-jail-free’ pass.” BBC News: 2 Dec 23.

George Santos expelled from Congress in historic vote: facing 23 felonies including wire fraud, ML and theft of public funds: BBC News 2 Dec 23.