Bribery and Corruption

IMF Paper- "Fighting Corruption Critical for Growth and Macroeconomic Stability"

A paper published by the International Monetary Fund (IMF) estimates that the annual cost of bribery is around $1.5 to $2 trillion (around 2 percent of global GDP).

The paper notes that corruption affects economic development in a number of ways and sets out mitigation strategies to combat corruption, including fiscal and financial transparency and enforcement.

International Monetary Fund, 11 May 2016

Rolls-Royce Corruption Probe

It has been reported that the SFO is expanding its investigation into alleged bribery at Rolls-Royce to the company's former operations in Nigeria.

Bloomberg, 19 May 2016


Ex-Barclays banker revealed as pleading guilty to Libor rigging

Peter Johnson, a former senior Barclays banker, pleaded guilty in October 2014 to conspiring to manipulate Libor, the Serious Fraud Office has said.

The SFO said a court order restricting publicity of the guilty plea had been lifted five weeks into the London trial of five other former Barclays bankers on Libor rigging charges.

Johnson is the first man in Britain to plead guilty to charges related to Libor.

SFO, 11 May 2016

Ex-Barclays trader told court he was pressured to lie about Libor setting

It is reported that Jonathan Matthew, one of five former Barclays bankers on trial for the alleged rigging of Libor, told Southwark Crown Court he lied about submitting rates for traders because he felt pressured by his manager at the time, Peter Johnson, and the bank to "toe the line".

Mathew had said in his opening defence that he did not do anything improper or dishonest and was only doing what his boss told him and taught him to do.

Reuters, 13 May 2016

Health and Safety

McCain Foods fined £800k

Frozen food giant McCain has been fined £800,000 for safety failings after an engineer nearly lost his arm in an industrial accident at their Whittlesey factory.

Adam Regan was examining a conveyor belt when his arm became trapped in the machinery and was almost severed, although his arm was saved, he now has limited movement in his hand.

An investigation by the Health and Safety Executive (HSE) found that the conveyor did not have the correct guards fitted. A risk assessment of the machine by the company failed to recognise the danger.

McCain Foods (GB) Limited pleaded guilty to breaching Regulation 11(1) of the Provision and Use of Work Equipment Regulations 1998 and Section 2(1) of the Health and Safety at Work Act 1974, and was fined £800,000 with costs of £12,831.51., 10 May 2016

Plastics manufacturer fined for death of worker

RGE Engineering Company, a plastics manufacturer from Cambridgeshire, has been fined and given a 15 month suspended sentence after a worker was crushed by printing machinery.

Gordon Leach (trading as RGE Engineering Company) pleaded guilty to breaching Regulation 11(1) of the Provision and Use of Work Equipment Regulations 1998 and was given a 15 month sentence, suspended for 24 months, was fined £7,500 and was ordered to pay full costs of £45,000.

The worker entered the printing machine to apply thinners to the ink when the machine started. Her head was crushed between the printing pads and the printing table of the machine, fatally injuring her.

An investigation by the Health and Safety Executive (HSE) into the incident found that there was no effective system of guarding to the machine and the incident could have been prevented.

HSE, 13 May 2016

Cargo handling company fined £100,000

Extreme Handling Limited, a Suffolk cargo handling company, has been fined £100,000 after an employee suffered serious injury when a sheet of marble weighing one tonne fell on him.

The company pleaded guilty to breaching Section 3(1) of the Health and Safety at Work etc. Act 1974., 16 May 2016

60ft bridge collapses

Police are continuing an investigation following the collapse of the desk of a major vertical lifting bridge by the Manchester Ship Canal after it fell suddenly from four supporting concrete towers during its construction.

It is understood that no injuries have resulted from the collapse., 17 May 2016


Officials say US to renew bulk of Myanmar sanctions

The Guardian reports that the US plans to renew most of its sanctions against Myanmar, but will make some changes to encourage investment and trade.

The Guardian, 14 May 2016

US District Court dismisses judicial review of OFAC penalty

It has been reported that the US District Court for the District of Columbia has upheld OFAC’s motion for summary judgment in Epsilon Electronic’s judicial review of OFAC’s decision to impose a $4,073,000 penalty on Epsilon.

The penalty was issued for violating US sanctions on Iran by shipping car audio and video equipment, valued at $3,407,491, to a company that re-exports most of its products to Iran.

European Sanctions, 12 May 2016


The Queen's Speech

The introduction of the Criminal Finances Bill was announced as part of the Queen's speech to tackle corruption, money laundering and tax evasion.

Key measures include the introduction of a criminal offence for corporations who fail to stop their staff facilitating tax evasion, changes to the Suspicious Activity Reports regime and changes to the ability of law enforcement agencies and courts to recover criminal assets more effectively., 18 May 2016