UK Bribery Digest - Ernst & Young · cases in the second half of 2016 and we also examine the ......
36
Edition 10 February 2017 Fraud Investigation & Dispute Services UK Bribery Digest
Transcript of UK Bribery Digest - Ernst & Young · cases in the second half of 2016 and we also examine the ......
Edition 10February 2017
Fraud Investigation & Dispute Services
UK Bribery Digest
ContentsIntroduction 01
ISO 37001 and the Ministry of Justice 02 Adequate Procedures Guidance
New anti-bribery and anti-corruption 05 disclosure requirements for large enterprises
Unexplained wealth orders 06
Are “adequate procedures” something 07 more than “reasonable procedures”?
SFO in January 2017
Cases in the second half of 2016 19
Abbreviations 24
Contacts 24
Introduction
Welcome to the latest edition of our UK Bribery Digest. In this edition we outline and comment on seven completed cases in the second half of 2016 and we also examine the landmark DPA reached with Rolls-Royce in January 2017.
“reasonable procedures”
“adequate procedures”
Jonathan Middup
UK Bribery Digest Fraud Investigation & Dispute Services 1
•
• “Proportionate procedures”
is “Adequate bribery prevention procedures ought to be proportionate to the bribery risks the organisation faces”
“The anti-bribery management system shall be reasonable and proportionate”
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“Top level commitment” “Those at the top of an organisation are in the best position to foster a culture of integrity where bribery is unacceptable” .
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ISO 37001 and the Ministry of Justice Adequate Procedures Guidance
4 “Guidance about procedures which relevant commercial organisations can put into place to prevent persons associated with them from bribing (Section 9 of the Bribery Act 2010)”
8 Risk management, Principles and guidelines
in the area of bribery and corruption compliance in the second half of 2016 was
version of ISO 37001 (Anti-bribery management systems – Requirements with guidance for use) published by the International Organisation for Standardisation. How does this new standard compare with the Ministry of Justice Adequate Procedures Guidance (“the MoJ Guidance”)?
2 UK Bribery Digest Fraud Investigation & Dispute Services
requirements” “reasonable and proportionate”
“The guidance is designed to be of general application…The guidance is not prescriptive…”
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“more than a low risk of bribery”
UK Bribery Digest Fraud Investigation & Dispute Services 3
Including governing bodies, anti-bribery policies, compliance
functions, roles and responsibilities
Including due diligence, controls, ABC-commitments, gifts and hospitality, donations, speak-up and investigations
Including actions to address risks and opportunities,
ABC-compliance objectives and planning of
activities
Monitoring measurement, internal audit and management
review
Including resources, competences, awareness and training,
communication and documentation
Non-conformity and corrective actions
and programmes improvement
Including understanding the organisation, expectations of
stakeholders, strategies, systems and risk
assessmentsOperation
Support
Planning
Improvement
Performance evaluation
Context of the
organisation
Leadership
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“anti-corruption and anti-bribery matters”
• “clear and reasoned”
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New anti-bribery and anti-corruption disclosure requirements for large enterprises
UK Bribery Digest Fraud Investigation & Dispute Services 5
“Hundreds of British properties suspected of belonging to corrupt politicians, tax evaders and criminals could be seized by enforcement agencies”
Unexplained wealth orders
UWOs will apply to assets worth £100,000 or more where there are reasonable grounds for suspecting that the asset was not acquired out of lawful income.
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“…in order to achieve an appropriate balance, section 7 provides a full defence. This is in recognition of the fact that no bribery prevention regime will be capable of preventing bribery at all times”
“reasonable in all the circumstances”
“reasonable procedures”
“adequate procedures”
“adequate procedures” “reasonable
procedures”
defence be one of “reasonable procedures” rather than “adequate
corporation to be able to stop every instance of non-compliance by their representatives.
The Government is mindful of the need not to overburden corporations by requiring them to put in place procedures that are not proportionate to the risk posed by their operations. We do not believe that it is unreasonable to expect corporations to put in place procedures intended to prevent those representing them from committing criminal acts in pursuit of aiding another person to commit tax evasion. These procedures must however be reasonable, for example, they must be proportionate to the risk faced and not excessively burdensome.”
“adequate procedures”
“adequate procedures” “reasonable procedures”
“adequate procedures” “reasonable procedures”
Are “adequate procedures” something more than “reasonable procedures”?
“The Government is mindful of stakeholders’ concerns around the use of “adequate procedures” and accepts respondents’ request that the defence be one of “reasonable procedures” rather than “adequate procedures”.From the Summary of Responses dated December 2015.
UK Bribery Digest Fraud Investigation & Dispute Services 7
SFO in January 2017
65 Rolls-Royce (January 2017)
deferred prosecution agreements”
A
The size and scale of the DPA•
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UK Bribery Digest Fraud Investigation & Dispute Services
Transparency
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The simultaneous completion of parallel co-ordinated enforcement actions in three jurisdictions in respect of related bribery schemes•
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The origin of the investigation•
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UK Bribery Digest Fraud Investigation & Dispute Services 9
T
Summary
“far more extensive systematic bribery and corruption”
“aggravating features”
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Key terms of the DPA
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Financial penalty: Harm penalty – equivalent guilty plea discount – discount for co-operation
The
Charge Nature Basis
T
Charge Nature Multiplier
The culpability multipler
UK Bribery Digest Fraud Investigation & Dispute Services 11
The equivalent guilty plea discount discount for co-operation
“broad range of conduct”“extraordinary
co-operation”
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“quasi-monitor”
12 UK Bribery Digest Fraud Investigation & Dispute Services
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Rolls-Royce’s co-operation was 50% of the penalty it otherwise would have incurred (£478.17 million), or an amount of £239.08 million.
UK Bribery Digest Fraud Investigation & Dispute Services 13
The decision not to prosecute
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“quasi-monitor”
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“Rolls-Royce is no longer the company that it was”
• The
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“are not unlimited”
• The “vital importance”
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“My reaction when
prosecuted in the context of such egregious criminality over decades, involving countries around the world, making truly vast corrupt
14 UK Bribery Digest Fraud Investigation & Dispute Services
Co-operation and self-reporting
“genuinely proactive approach”
“Not every company comes anywhere near this level in the way they engaged with us”
“the extraordinary co-operation”
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“highly material”
“The fact that an investigation was not triggered by a self-report would usually be highly relevant in the balance but the nature and extent of the co-operation provided by Rolls-Royce in this case has persuaded the SFO not only to use the word “extraordinary” to describe it but also to advance the argument that, in the particular circumstances of this case, I should not distinguish between its assistance and that of those who have self-reported from the outset. Given that what has been reported has clearly been far more extensive (and of a different order) than may have been exposed without the co-operation provided, I am prepared to accede to that submission.”
Insight into risk and compliance issues
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• “stage payments”
The company’s extraordinary co-operation therefore trumped the absence of a self-report. This is a consideration that
similar circumstances might keep in mind.
UK Bribery Digest Fraud Investigation & Dispute Services 15
• “concessions”
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Insights into bribery schemes
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• “consultancy services”
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The facts
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“…in large part, the conduct in this case concerns the failure of Rolls-Royce to implement or enforce procedures to prevent bribery by its associated persons…”From the Approved Judgment in respect of the Rolls-Royce DPA
It is noted that in the absence of direct evidence of the payment of a bribe by an intermediary, the court was willing to draw an inference of bribery. This has implications for those who would highlight
as they do not have access to the intermediary’s books and records – the surrounding evidence may be strong enough to allow an inference to be drawn.
UK Bribery Digest Fraud Investigation & Dispute Services 17
“ [The company] should continue to review its existing internal anti-bribery and corruption controls, policies, and procedures regarding compliance with the Bribery Act 2010 and other applicable anti-corruption laws, enhancing, in particular, its policies and processes in respect of third parties and improve its training in respect of anti-bribery and corruption policies.”From the Approved Judgment in respect of the Rolls-Royce DPA
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“a controlling mind”
Further enforcement action
“implicated senior management and, on the face of it, controlling minds of the company”
UK Bribery Digest Fraud Investigation & Dispute Services
64 Richard Kingston (December 2016)
“We will not hesitate to pursue those who may set out similarly to disrupt our investigations.”
63 Aisha Elliott and Stephen Oates (December 2016)
Cases in the second half of 2016
UK Bribery Digest Fraud Investigation & Dispute Services 19
62 Peter Lewis and Richard Moxon (November 2016)
We comment as follows:
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20 UK Bribery Digest Fraud Investigation & Dispute Services
61 Feezan Hameed and others (September 2016)
We comment as follows:
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UK Bribery Digest Fraud Investigation & Dispute Services 21
22 UK Bribery Digest Fraud Investigation & Dispute Services
60 John Reynolds and Wesley Mezzone (September 2016)
59 Ronald Harper and others (August 2016)
“a hardworking, apparently loyal team player, admired and trusted by colleagues”
We comment as follows:
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58 Saeed Shakir and Muzaffar Hussain (July 2016)
UK Bribery Digest Fraud Investigation & Dispute Services 23
AbbreviationsABC Anti-bribery and corruption
CoLP City of London Police
CJA Criminal Justice Act 1967
CLA Criminal Law Act 1977
CPS Crown Prosecution Service
CRO Civil Recovery Order
CRU Civil Recovery Unit
DoJ US Department of Justice
DPA Deferred Prosecution Agreement
DPP Director of Public Prosecutions
ECU Economic Crime Unit
FCA Financial Conduct Authority
FSMA Financial Services and Markets Act 2000
MPS Metropolitan Police Service
MoJ Ministry of Justice
NCA National Crime Agency
OECD Organisation for Economic Co-operation and Development
PCA Prevention of Corruption Act 1906
POCA Proceeds of Crime Act 2002
SAR Suspicious Activity Report
SEC Securities and Exchange Commission
SOCA Serious Organised Crime Agency
SOCD Serious Organised Crime Division
To subscribe to receive future editions of the UK Bribery Digest email [email protected]
Fraud Investigation & Dispute Services
Jim McCurry [email protected]
John Smart +44 (0) 20 7951 3401
Jonathan Middup +44 (0) 121 535 2104
David Lister [email protected]
Steve Caine +44 (0) 20 7951 4433
Contacts
24 UK Bribery Digest Fraud Investigation & Dispute Services
EY
About EY
About EY’s Fraud Investigation & Dispute Services
UK Bribery Digest Fraud Investigation & Dispute Services 25
Case reference Date Name Sector
Enforcement Enforcement agency Source of enquiry
Self- Date of transactions
65 January 2017 Rolls-Royce PLCRolls-Royce Energy Systems Inc
Defence aerospaceCivil areospaceEnergy
2012 SFO Internal whistleblower No 1989 to 2013
64 December 2016 Richard Kingston Construction SFO 2015
63 December 2016 Aisha Elliott
Stephen Oates
Insurance / Claims Management
2015 CoLP Internal investigation Yes January 2013 to December 2014
62 November 2016 Peter Lewis Richard Moxon
NHS Foundation Trust
December 2011 Surrey Police Police investigation Yes 2011
61 September 2016 Feezan Hameed Nouman Chaudhary
Various others
Organised crime April 2015 Metropolitan Police Fraud and Linked Crime Online Taskforce (FALCON) with support from 16 police forces across the UK
Reports of frauds perpetrated against bank business customers
No January 2013 to October 2015
60 September 2016 John ReynoldsWesley Mezzone
Fire and Rescue Services
Sussex Police Internal investigation Yes June 2010 to July 2013
59 August 2016 Ronald HarperSteven ThompsonChristopher MurphyAlan RollinsonAseai ZlaouiGlynn Orridge
Royal Household CPS / Leicestershire Police
Police investigation Yes 2006 to 2011
58 July 2016 Saeed ShakirMuzaffar Hussain
Local authority December 2013 Surrey Police Individual who was offered a bribe
Yes December 2013
57 July 2016 Small to medium sized enterprise November 2012 SFO Internal investigation Yes 2004 to 2012
56 June 2016 Simon Davies Robert Gillam
Defence CoLP FBI referral No 2009
55 May 2016 Peter Chapman Manufacturer May 2009 SFO Australian Federal Police
Australian Reserve Bank referral
No 2009
54 April 2016 Elena Kotova Banking NCA CoLP
Internal investigation No 2005 to 2011
53 April 2016 Braid Group Holdings Limited Freight and logistics COPFS Internal investigation Yes 2012
52 December 2015 Sweett Group plc Construction July 2014 SFO Press allegations No 2012 to 2015
51 November 2015 Standard Bank plc Banking April 2013 SFO Internal investigation Yes March 2013
50 November 2015 Barclays Bank plc Banking November 2014 FCA FCA No 2011 to 2012
49 October 2015 22 individuals (re case 20) Public Service August 2011 MPS Press investigation No 2010 to 2011
48 September 2015 Anthony BodginKevin WingraveGary RawlingsHarold McGirlLynda McMayon
Public sector 2011 CPS Police investigation No 2005 to 2011
47 September 2015 Brand-Rex Limited Manufacturing June 2015 COPFS Internal investigation Yes 2008 to 201246 September 2015 Guido Bakker
Sijbrandus SchefferPharmaceutical / International development
2007 CoLP UN investigation No 2004 to 2007
45 June 2015 Charles OwensonJames CostelloKevin Balmer
Brendan Cantwell
Construction/ Public sector
2010 COPFS Whistleblower No 2006 to 2010
44 May 2015 Graham Marchment (re case 23)
Oil and Gas April 2008 SFOCoLP
Whistleblower No 2004 to 2008
43 April 2015 Delroy FaceyMoses Swaibu
Football/gambling November 2013 NCA Press investigation No November 2013
42 March 2015 Bank of Beirut Anthony Wills
Michael Allin (internal auditor)
Banking March 2013 FCA No 2011 to 2013
41 December 2014 International Tubular Services Limited
Oil and gas services November 2013 COPFS Acquisition due diligence Yes
40 December 2014 Christopher Smith
Nicholas Smith
Smith and Ouzman Limited
Security printing October 2010 SFO No November 2006 to December 2010
39 December 2014 Gary West (Director of Sustainable AgroEnergy plc)Stuart Stone
Investment fund SFO No April 2011 to February 2012
38 July 2014 FHR European Ventures LLP v Mankarious and others
Hotels December 2004
37 July 2014 Bruce Hall Metals June 2009 SFO CoLP
No 1998 to 2006
36 June 2014 Dennis Kerrison
Miltiades Papachristos Paul Jennings David Turner
(Former directors of Innospec Limited)
Chemicals October 2007 SFO UN Independent Inquiry Committee
No 14 February 2002 to 31 December 2006 (indictment period)
Case reference
Value of business Value of bribe Location of transactions Legal basis of action
65 Unknown UK, Indonesia, Thailand, India, Russia, Nigeria, China and Malaysia
Criminal: S.1 CLACriminal: S.17 Theft Act 1968Criminal: S.7. Bribery Act
64 UK Criminal: S.2(16) CLA
63commission from the referrals
UK Criminal: S.1 Bribery Act
Criminal: S.2 Bribery Act
62 UK Criminal: S.1 PCA
61 UK Criminal: S.4 Fraud Act 2006 Criminal: S.327: POCA
60 UK Criminal: S.4 Fraud Act 2006S.2 Bribery ActS.1 Bribery Act
59 UK Criminal: Bribery ActCriminal: S.2 Bribery ActCriminal: S.1 Bribery ActCriminal: S.4 Fraud Act 2006Criminal: S.327: POCA
58 UK Criminal: S.1 Bribery Act
57contracts)
Criminal: S.1 CLACriminal: S.7 Bribery Act
56 UK and US
55 €30m (sales value) US$205,000 Nigeria Criminal: PCA
54 UK Civil: CRO
53contracts)
UK Civil: POCA (Part 5)
52 US$100m (value of contract) US$3.5m Middle East Criminal: S.7 Bribery Act
51 US$6m Tanzania Criminal: S.7 Bribery Act
50transaction)
Civil: S.206 FSMA
49 UK
48 UK Criminal: S.1 CLACriminal: S.4 Fraud ActCriminal: S.327 POCA
47 UK Civil: POCA (Part 5)46 $43m (value of contract) $1m Denmark and UK
45 UK Criminal: Public Bodies Corrupt Practices Act 1889Criminal: POCA
44 US$250,000 (for QASR Gas Gathering Project, Egypt)
Sakhalin Island Project, Russia)
Egypt, Russia and Singapore Criminal: S.1 CLA
43 UK Criminal: S.1 CLA
42 Civil: S.206 FSMA
41 Kazakhstan Civil: POCA (Part 5)
40 Kenya and Mauritania Criminal: S.1 PCA
39 US$2.2m UK Criminal: S.2(1) and (2) Bribery Act
Criminal: S.1(1) and (2) Bribery Act
38 €10m Monaco
37 US$0.9m
Bahrain Criminal: S.1 PCA Criminal: S.1 CLACriminal: S.329 and S.327 POCACivil: POCA (Part 5)
36 US$160m (value of contracts) US$2.9m in kickbacks Indonesia Criminal: S.1 CLA
Case reference Financial penalty Other penalties65
Financial penaltyCompliance with the terms of the DPA
64 12 months imprisonment on 2 counts to run concurrently
63 12 months imprisonment
12 months imprisonment
62
61 11 years imprisonment3.5 years imprisonment
Between 20 weeks and 5 years imprisonment
60 30 months imprisonment20 months imprisonment
59 5 years imprisonment18 months imprisonment18 months imprisonment12 months imprisonment suspended for two years12 months suspended sentence and 200 hours of unpaid work100 hours of unpaid community work
58 20 months imprisonment27 months imprisonment (reduced from 3 years on appeal)
57Fine
Compliance with terms of DPA including annual reporting to the SFO on anti-bribery compliance programme
56 Sentencing pending
55 2.5 years imprisonment
54 Surrender of assets acquired using corrupt funds
53obtained
52 Fine
51 US$8.4mUS$16.8mUS$7m
FineCompensation to Government of Tanzania
Compliance with terms of the DPA, including independent review of its existing anti-bribery and corruption controls
50 Disgorgement of revenueFine
49 Imprisonment (sentences of between 4 and 18 months)
48 3 years and 6 months imprisonment 3 years and 6 months imprisonmentSuspended sentenceSuspended sentenceSuspended sentence
4746 12 months imprisonment
15 months imprisonment
45 4 years and 4 months imprisonment 3 years and 9 months imprisonment
as a director for 5 years
as a director for 5 years
Proceedings against all four individuals with a view to recovery of stolen funds
44 30 months imprisonment
43 30 months imprisonment 16 months imprisonment
42
Fine (bank)
Fine (internal auditor)
Stopped from acquiring new customers from high risk jurisdictions for 126 days
41obtained
40Costs (C. Smith)
Costs (N. Smith)Fine (Company)
Costs (Company)
18 months imprisonment suspended for 2 years,250 hours unpaid work, 3 month curfew and
acting as a director for 6 years
39 4 years imprisonment (concurrent with fraud offences)
6 years imprisonment (concurrent with fraud offences)
38 Order to deliver up €10m
37Compensation
16 months imprisonment(reduced from 6 years for cooperation and guilty plea) US$900,000 disposal by consent
36 3 years imprisonment (reduced from 4 years on appeal)18 months imprisonment2 years imprisonment16 months imprisonment suspended with 300 hours unpaid work
Case reference Date Name Sector
Enforcement Enforcement agency Source of enquiry
Self- Date of transactions
35 June 2014 Chann Sankaran Krishna Ganeshan Michael Boateng
Football/gambling November 2013 NCA Press investigation No November 2013
34 March 2014 Besso Limited General insurance broking
FCA No January 2005 to October 2009
33 February 2014 Constantin Medien AG v Ecclestone and others
Sport May 2005
32 February 2014 Otkritie International Investment Management and others v Urumov
Securities trading November and December 2010
31 December 2013 JLT Specialty Limited Insurance broking FCA FCA review No February 2009 to May 2012
30 April 2013 Yang Li Education Avon and Somerset Constabulary
Individual who was offered bribe
No November 2012
29 December 2012 Mawia Mushtaq Public service October 2011 Greater Manchester Police CPS
Individual who was offered bribe
No October 2011
28 November 2012 Abbot Group Limited Oil and gas July 2012 COPFS Tax audit Yes 2007
27 July 2012 Oxford Publishing Limited (part of Oxford University Press)
Publishing November 2011 SFO World Bank investigation Yes 2007 to 2010
26 June 2012 Andrew Behagg David Baxter John Maylam
Food retailing 2008 CoLP Audit No January 2006 to January 2008
25 May 2012 Syed Jaffery Pritpal Gill
Banking No May 2007 to May 2010
24 March 2012 James McGeown
William Marks John Symington Carol Kealey
Government procurement (CCTV contracts)
2002 Ministry of Defence Police SFO
Whistleblower No January 1998 to February 2004
23 January 2012 Andrew Rybak
Ronald Saunders Philip Hammond
Barry Smith
Oil and gas April 2008 SFO CoLP
Whistleblower No 2001 to 2009
22 January 2012 Mabey Engineering (Holdings) Limited (parent company of Mabey & Johnson Limited)
Engineering(temporary bridges)
January 2007 SFO No 2001 and 2002
21 November 2011 Mazhar Majeed Salman Butt Mohammad Asif Mohammad Amir
Cricket/gambling Press investigation No August 2010
20 October 2011 Munir Yakub Patel Public service CPS Press investigation No August 201119 July 2011 Macmillan Publishers
Limited (MPL)Educational materials
December 2009 SFOCoLP
World Bank report Yes 2002 to 2009
18 July 2011 Willis Limited Wholesale insurance and reinsurance broking
FSA with SOCA
No 2005 to 2009
17 April 2011 DePuy International Limited Medical goods October 2007 SFO Internal whistleblowerReferred to SFO by DoJ
No 1998 to 2006
16 April 2011 Mark Jessop Medical goods December 2005 SFO UN Independent Inquiry Committee
No 2000 to 2003
15 February 2011 Aftab Noor al-Hassan
Riad El-Taher
Oil and gas October 2005 SFO UN Independent Inquiry Committee
No 2001 to 2002
14 February 2011 MW Kellogg Limited (MWKL) Oil and gas October 2009 SFO French prosecutors Yes 1995 to 2004
13 February 2011 Richard Forsyth
David Mabey
Richard Gledhill (Mabey & Johnson Limited)
Engineering (temporary bridges)
January 2007 SFO No 2001 and 2002
12 December 2010 BAE Systems plc Defence 2004 SFO Investigative journalism No 1999 to 2005
11 December 2010 Weir Group plc Oil and gas services 2004 COPFS UN Independent Inquiry Committee
No 2000 to 2002
10 October 2010 Julian Messent (PWS International Limited)
Insurance broking October 2005 SFOCoLP
Foreign and No February 1999 to June 2002
9 June 2010 Paul Kent Silinder Singh Sidhu Stuart Ford Rebecca HoyleSarah Kent
(Learning Skills Council (LSC))
Government funded training programmes
July 2006 SFO West Mercia Police
LSC Whistleblower No June 2003 to August 2005
8 April 2010 Robert Dougall (DePuy International Limited)
Medical goods SFOWest Yorkshire Police
Internal whistleblowerReferred to SFO by DoJ
1998 to 2006
7 March 2010 Innospec Limited Chemicals October 2007 SFO UN Independent Inquiry Committee
No 14 February 2002 to 31 December 2006 (indictment period)
Case reference
Value of business Value of bribe Location of transactions Legal basis of action
35 €450/€60,000 fund UK Criminal: S.1 CLA
34 Various Civil: S.206 FSMA
33 US$44m within a wider civil claim
32 Approximately US$12m in total London and Moscow Civil: Deceipt, tort of bribery and/or dishonest assistance; conspiracy
31 from business from overseas
(commissions paid to overseas introducers)
Global: various countries are cited — Argentina, Bahamas, Cameroon, China, Ecuador, Egypt, Gabon, Nigeria, Sudan
Civil: S.206 FSMA
30 UK Criminal: S.1 Bribery Act
29 UK Criminal: S.1 Bribery Act
28 Civil: POCA (Part 5)
27 East Africa Civil: POCA (Part 5)
26 UK Criminal: S.1 PCACriminal: S.329 POCA
25 UK
24 UK Criminal: S.1 PCACriminal: article 47 (2) Proceeds of Crime (Northern Ireland) Order 1996
23 US$100,000 (10% of Styrene Monomer Project, Iran)US$250,000 (for info re QASR Gas gathering Project, Egypt)
(for info re Sakhalin Island Project)
Iran, Egypt, Russia, Singapore and Abu Dhabi
Criminal: S.1 PCA
22 (in Jamaica),
Iraq Civil: POCA (Part 5)
21 UK Criminal: S.1 CLA
20 UK Criminal: S.2 Bribery Act19 Rwanda, Uganda and Zambia Civil: POCA (Part 5)
18commissions earned)
paid)
“High risk jurisdictions” Egypt, Russia and Argentina cited
Civil: S.206 FSMA
17 Greece Civil: POCA (Part 5)
16 US$12.3m (value of contracts) €339,900 Iraq Criminal: The Iraq (United Nations Sanctions) Order 2000
15 US$220m oil value
US$50m oil value
US$1.6m
US$0.5m
Iraq Criminal: The Iraq (United Nations Sanctions) Order 2000
14 US$6bn (total value of contracts) US$182m (paid to government Nigeria Civil: POCA (Part 5)
13 €4.2m (contract revenues) Iraq government
Iraq Criminal: The Iraq (United Nations Sanctions) Order 2000
12 US$39.97m (contract value) US$12.4m (payments to intermediaries)
Tanzania Criminal: S.221 Companies Act 1985
11 Iraq Civil: POCA (Part 5) (referencing S.221 Companies Act 1985)Criminal: The Iraq (United Nations Sanctions) Order 2000
10 US$1,982,230 as inducements or rewards
Costa Rica Criminal: S.1 PCA
9 UK Criminal: S.1 PCACriminal: S.329(1)(b) POCA (money laundering)Criminal: S.328(1) POCA (acquisition, retention, use or control of criminal property)Criminal: S.16 Theft Act 1968 (pecuniary advantage by deception)
8 Greece Criminal: S.1 PCA
7 US$160m (value of contracts) US$2.9m in kickbacks Indonesia Criminal: S.1 CLA 1977 (conspiracy to corrupt)Criminal: S.1 PCA
Case reference Financial penalty Other penalties35 5 years imprisonment
5 years imprisonment16 months imprisonment
34 Old Penalty Regime less 30% discount for early settlement
Besso was required to requisition a S.166 Skilled Person report
33
32 Damages of US$23m and concurrent delivery of US$12,044,114
31Regime less 30% early settlement discount. Under New Penalty Regime: Relevant revenues
for aggravating factors less 30% early settlement discount
30
29 2 months imprisonment suspended for 12 months and a 2 month curfew from 6pm to 6am
28obtained
27 Revenue generated from unlawful conduct
World Bank debarment for 3 yearsIndependent monitor for 12 months US$500,000 paid to World Bank
organisation26 3 years and 6 months imprisonment
2 years and 6 months imprisonment4 years imprisonment
25
24 3 years imprisonment suspended for 2 years and
2 years imprisonment suspended for 2 years9 months imprisonment suspended for 2 yearsConditional discharge
233 years and 6 months imprisonment
12 months imprisonment suspended for 18 months
22 Dividends received by parent company derived from contracts won by subsidiary through unlawful conduct
21 32 months imprisonment30 months imprisonment12 months imprisonment6 months imprisonment
prosecution costs
20 3 years imprisonment19 Revenue received from
potentially unlawful conductMPL debarred from World Bank contracts for minimum 3 years SFO approved monitor put in place costs. MPL withdrew from
all public tenders in education business in East and West Africa. Loss of bid securities
18relevant circumstances”High standards of regulatory conduct
Willis to carry out a review of past payments to overseas third parties
the FSA17 Had regard to penalties,
settlements and seizures in US and Greece
DePuy pays prosecution costs
16 Fine — payable to the Development Fund for Iraq
24 weeks custodial sentence Jessop pays prosecution costs
15 16 months imprisonment suspended for 2 years
10 months imprisonment
14 Amount of share dividends
company derived from contracts obtained by bribery and corruption
MWKL to overhaul its internal audit and control measures MWKL pay costs of investigation
13
8 months imprisonment suspended for 2 years
12 FineEx-gratia payment for the
Remediation as set out in the Report of Lord Woolf
11 Fine
10 Compensation to the Republic of Costa Rica
9 4.5 years imprisonment3 years imprisonment2 years imprisonment1 year imprisonment suspended for 2 years12 months imprisonment suspended for 2 years and 200 hours unpaid work and 12 month supervision order
8 12 months prison term suspended for 2 years on appeal
7 US$6.7mUS$6m of Indonesian corruption
Civil recovery of which US$5m to UN Development Fund for Iraq (penalties taking into account the ability to pay)
SFO appointed monitorcompensation Innospec to pay costs of a monitor for up to three years
Case reference Date Name Sector
Enforcement Enforcement agency Source of enquiry
Self- Date of transactions
6 October 2009 AMEC plc Engineering and project management
March 2008 SFO Yes 2005 to 2007
5 September 2009 Mabey & Johnson Limited Engineering (temporary bridges)
January 2007 SFO Yes 1993 to 2002
4 January 2009 Aon Limited Insurance broking April 2007 FSA and FSA
No January 2005 to September 2007
3 October 2008 Balfour Beatty plc Engineering and construction services
April 2005 SFO Yes 1998 to 2001
2 September 2008 Niels Tobiasen (CBRN)Ananias Tumukumbe
Security consulting services
CoLPCPS
SAR No May 2007
1 April 2008 Shinder Singh Gangar
Alan White
Nigel Heath (Dobb White & Co)
High yield investments
September 2002 SFOLeicestershire Police ECU
A separate SFO investigation
No
Case reference
Value of business Value of bribe Location of transactions Legal basis of action
6 US$9m South Korea Civil: POCA (Part 5) (referencing S.221 Companies Act 1985)
5 Iraq: €4.2m (contract revenues) to government
Iraq, Jamaica and Ghana Criminal: S.1 CLA
4 US$7.1m and €1m (revenues arising)
US$2.5m and €3.4m to intermediaries
Bahrain,Bulgaria, Myanmar, Bangladesh, Indonesia, Vietnam
Civil: S.206 FSMA
3 Egypt Civil: POCA (Part 5) (referencing S.221 Companies Act 1985)
2 Uganda Criminal: S.1 PCA
1 US$500,000 bribe US Criminal: S.1 CLA
Case reference Financial penalty Other penalties6 Contribution to costs of the
Civil Recovery Order External consultant appointed
5 FineFineFine
4
3 Contribution to costs of the Civil Recovery Order External monitor appointed
2 5 months jail sentence suspended for a year1 year jail sentence; subsequently deported
1 18 months jail sentence for corruption and 6 years for fraud18 months jail sentence for corruption and 6 years for fraud6 months jail sentence
