Corporate Crime Monthly Update – August 2017

Welcome to the August 2017 edition of our corporate crime update – our round up of developments in relation to corruption, money laundering, fraud, sanctions and related matters. Our update now covers a number of jurisdictions. For the full update on each jurisdiction, please click on the name of the jurisdiction below. Below we provide a brief overview of what is covered in each update.

UNITED KINGDOM/ EUROPE

  • New sanctions reporting requirements for non-financial sector businesses
  • UK Government publishes response on the legal framework for sanctions post-Brexit
  • Failure to Prevent the Facilitation of Tax Evasion offences to be implemented from 30 September 2017 – Criminal Finances Act 2017
  • The Court of Appeal clarifies the ‘public interest test’ for whistleblowing claims
  • FCA annual reports and accounts 2016/2017
  • FCA publishes new cyber security guide
  • SFO opens investigation into pension schemes totalling £120 million
  • Anti-money laundering reforms not implemented in majority of EU countries
  • Consultation on Codes of Practice of POCA and ATCSA
  • NCA to host the International Anti-Corruption Coordination Centre
  • Other corporate crime developments

UNITED STATES

  • Chairman of Macau-based real estate development company convicted at trial for scheme to bribe UN officials
  • Telecom executive pleads guilty to FCPA charges
  • CDM Smith resolves FCPA violations through DOJ declination and disgorgement
  • Seventh company pleads guilty for fixing electrolytic capacitor pricing
  • DOJ seeks to recover over $100 million in Nigerian oil corruption case
  • FinCEN fines BTC-e virtual currency exchange for AML violations
  • Celgene settles fraud allegations over cancer drug improper promotion

Sanctions

  • US President recertifies the JCPOA and extends review of Sudan sanctions
  • US passes legislation that strengthens Iran, Russia, and North Korea Sanctions
  • US imposes sanctions on Chinese bank for alleged transactions with North Korea
  • US imposes sanctions on Venezuelan President Nicolás Maduro
  • OFAC fines Singapore Firm $12 Million for Iran sanction violations
  • US Government wins forfeiture case of Iranian-owned tower in Manhattan

MIDDLE EAST

  • Fraudster arrested following 55 complaints
  • Individuals conspire to defraud bank
  • Ex-ministry employee misappropriates $820,000

HONG KONG

  • Hong Kong SFC consults on new rules and code for open-ended fund company
  • SFC and AMF sign MOU on mutual recognition of funds between Hong Kong and France
  • Hong Kong SFC closes consultation on proposed guidelines to reduce and mitigate hacking risks related to internet trading
  • Company director sentenced to four months’ imprisonment for small bribe to bank staff
  • Russian money laundering revelations lead to call for private-public cooperation on KYC
  • HKMA and PWMA in Hong Kong collaborate to develop a treat customers fairly charter for the PWM industry
  • SFC annual report published
  • ICAC chief visits Guangzhou and Shenzen to foster ties in graft fight

CHINA, SOUTH EAST ASIA & INDIA

China

  • Beijing police arrest 9 in one of the world’s largest internet malware schemes
  • Apple opens China data center to comply with new cyber-security rules
  • Game developer’s subsidiary and former chairman charged for offering bribes in China
  • US proposes to sanction Chinese bank for money laundering concerns linked to North Korea
  • Multiple former senior government officials investigated for bribery

India

  • CDM Smith investigated for bribing government officials

Indonesia

  • Indonesian authorities invoke corporate liability provisions for the first time
  • Tax official sentenced to 10 years’ imprisonment for bribery

Singapore

  • Singapore introduces draft Cybersecurity Bill
  • Singaporean police probe a collapsed suspected Ponzi scheme
  • MAS consults on regulations for the provision of digital advisory services

Thailand

  • King Power International accused of tax evasion

Philippines

  • Philippines extends anti-money laundering laws to include casinos
  • BIR investigates 40 cases of tax evasion this year

Vietnam

  • Anti-corruption investigations in central province

South Korea

  • Heads of KAI and DAPA under investigation

JAPAN

  • Japan ratifies UN organised crime convention following passing of anti-conspiracy law

AUSTRALIA

  • AUSTRAC proposes restructure of AML/CTF Rules
  • AUSTRAC Report on Securities and Derivatives Sector: Money Laundering and Terrorism Financing Risk Assessment
  • Consultation paper regarding ASIC’s power recommends sharing of intercepted phone calls
  • Parliament releases report into human trafficking and slavery

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