i-law

Fraud Intelligence

Hoskins – a limit on the US long-arm reach over corruption

US prosecutors will need to work more closely with overseas counterparts if they are to make out corruption cases against non-resident foreign nationals following a District Court ruling in proceedings against former Alstom executive Lawrence..
Online Published Date:  11 December 2015

First UK DPA – the prosecution perspective

Crispin Aylett QC, instructed on behalf of the Serious Fraud Office in the bribery case against Standard Bank, recently resolved through a deferred prosecution agreement, and Rachna Gokana, who also practises out of QEB Hollis Whiteman Chambers,..
Online Published Date:  11 December 2015

US charge three with biggest hack of financial institution

Three men face charges of securities fraud and hacking on a scale “breathtaking in size and in scope”, US attorney Preet Bharara, announced in New York on 10 November. [1] Gery Shalon and Ziv Orenstein, arrested in Israel in July this..
Online Published Date:  11 December 2015

FBI warns of cybercrime risk with IoT devices

The US Federal Bureau of Investigation (FBI) has warned companies and individuals to exercise caution when using Internet of Things (IoT) devices such as internet-connected door locks, webcams and office equipment, like printers. The warning, in..
Online Published Date:  11 December 2015

TI tells Italy to stop ‘unbearable level’ of corruption

Transparency International is calling on Italy to stamp out what it regards as an “unbearable level” of corruption in the country. Through the ‘TI Italy: It’s time to say stop!’ campaign launched on 23 October, TI is..
Online Published Date:  11 December 2015

Fraud and cyber top crime statistics

The latest Crime Survey for England and Wales [1] reveals that an estimated 3.8m adults were victims of 5.1m frauds in the 12 months prior to participation in research conducted between May and August this year. Just over half the..
Online Published Date:  11 December 2015

A Russian ABC

Prevention is better than cure and nowhere more so than in Russia, where bribery and corruption – both the incidence and legislation – require careful interpretation, writes Nigel Layton of KPMG. In recent years, there have been..
Online Published Date:  11 December 2015

Data Safe Harbour ruling demands expert navigation

A European Court of Justice ruling that the EU Safe Harbour data-sharing agreement with the US is invalid calls for urgent fundamental reassessment of data storage and e-Discovery policies, says Toby Duthie of Forensic Risk Alliance. ..
Online Published Date:  11 December 2015

Nixed - corporate criminal liability reform

The UK government looks to have seriously compromised the potential for deferred prosecution agreements to address corporate criminal wrongdoing. Adrian Darbishire QC and Rachna Gokani of QEB Hollis Whiteman wonder where a recent written answer..
Online Published Date:  11 December 2015

A fraudster in his own words

At the 26th Annual ACFE Global Fraud Conference in Baltimore, Maryland, convicted fraudster Nathan Mueller described how shared passwords, mistaken payment authority as well as insufficient processing controls enabled him to embezzle..
Online Published Date:  11 December 2015

Freezing orders: when are payments made in the ‘ordinary course of business’?

Any payments out of assets subject to a freezing order are likely to aggravate claimants but they will be permitted “in the ordinary course of business”, a phrase explored by the Court of Appeal in Emmott v Michael Wilson and Partners..
Online Published Date:  11 December 2015

Deferred Prosecution Agreements come of age

The Serious Fraud Office will be justifiably satisfied with court approval of the first UK DPA but Tony Lewis and Natalie Quinlivan of Fieldfisher find the case raises questions about scope for application of the new tool. After many months..
Online Published Date:  11 December 2015

Sharland & Gohil: fraud & material non-disclosure in divorce

Spouses who seek to conceal assets in divorce proceedings are set to pay heavily for their deception after a landmark Supreme Court judgement. Maeve O’Higgins of Moon Beever considers the consequences. The conjoined appeals brought by..
Online Published Date:  11 December 2015

The case of the costly conferences

When Tiffany R Couch was engaged to rectify an internal control problem, a detailed and methodical examination of the related documentation led to an escalated fraud investigation. Some mistake, surely… David Schrader had it all. The..
Online Published Date:  11 December 2015

Freezing your assets off – clarification on the construction of freezing orders

In JSC BTA Bank (Appellant) v Ablyazov (Respondent) the Supreme Court considered whether a freezing order could cover assets not owned legally or beneficially yet controlled by the addressee of the order. Omar Qureshi, Louise Boswell and Jessica..
Online Published Date:  11 December 2015

The SFO: regaining its mojo?

It has been a difficult few years for the SFO. The organisation has faced criticism from various quarters and suffered a number of serious blows in some of the cases it has handled, all of which have cast the very future of the agency into doubt...
Online Published Date:  11 December 2015

Kroll 2015 global fraud report finds insiders the biggest threat

The biggest fraud threat to companies worldwide comes from within, according to the 2015 edition of the Global Fraud Report from risk assessment specialists Kroll. The report, published 23 November, surveyed 768 senior executives and showed that 81%..
Online Published Date:  11 December 2015

SFO finalises first DPA with Standard Bank in bribery case

The UK Serious Fraud Office (SFO) has confirmed its first deferred prosecution agreement (DPA) after approval, on 30 November, at Southwark Crown Court. [1] As a result, a bribery charge against Standard Bank will now be suspended for three years,..
Online Published Date:  11 December 2015

New test to put brake on car emissions fraud, says European Commission

The European Commission is counting on a new real driving emissions (RDE) test to prevent a repeat of the Volkswagen ‘defeat device’ scandal. Following a meeting on 29 September 2015 with the VW brand chief Herbert Diess, European Union..
Online Published Date:  11 December 2015

Global report finds bribery still pays but enforcement works

Some 30% of 824 companies surveyed worldwide have lost out on deals to corrupt competitors, according to a Global Corruption Report 2015 by consultancy Control Risks, but where law enforcement is strong the problem is declining. Control Risks’..
Online Published Date:  11 December 2015

Changes to US Attorney’s manual focus on increased prosecution of individuals

The US Department of Justice (DOJ) has released changes to the US Attorney’s Manual (USAM) that formalise and expand upon its shift in focus to increase prosecution of individuals responsible for corporate misdeeds. The updated USAM [1] was..
Online Published Date:  11 December 2015

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