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.

Audit, Case Studies / Red Flags, Document Examination, Investigation, Internal Fraud, North America

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 Ltd [2015] EWCA Civ 1028. Omar Qureshi, Louise Boswell and Jessica Foley of CMS Cameron McKenna examine the decision.

Criminal & Civil Proceedings, Freezing & Restraint

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.

Audit, Information & Systems Security, Comment, Surveys and Research, Whistleblowing, Internal Fraud, Vendor, Supplier and Procurement Fraud

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.

Criminal & Civil Proceedings, North America

UK scores well on beneficial ownership transparency progress, China and US lag

The UK has been praised as a member of the G20 group of world’s leading economies actively working against graft, in a new report by Transparency International.

Comment, Surveys and Research, Bribery & Corruption

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 yesterday [10 November].

Criminal & Civil Proceedings, Online Fraud, Securities & Investment Fraud

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.

Criminal & Civil Proceedings, Dishonesty & Deception, Freezing & Restraint, Europe

Russian athletes face international ban over doping claims

Both the Russian government and the All-Russia Athletics Federation (ARAF) deny allegations of widespread doping and fraudulent cover-ups, following a damning 9 November report from the World Anti-Doping Agency (WADA).

International agencies, Investigation, Bribery & Corruption, Europe

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 millions.

Case Studies / Red Flags, Internal Fraud, North America

Confess corruption to avoid prosecution, SFO says

The UK Serious Fraud Office’s (SFO) joint head of bribery and corruption Ben Morgan has advised companies to confess to the agency when they are exposed to graft – they may be able to strike a deferred prosecution agreement (DPA).

Criminal & Civil Proceedings, UK Government & Public Sector, Bribery & Corruption, Europe

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 Foley of CMS Cameron McKenna review the ruling.

Criminal & Civil Proceedings, Freezing & Restraint, Europe

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.

Data Mining & Analysis, Intelligence Sharing, Comment, Surveys and Research, Europe, North America

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.

Prevention, Online Fraud

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.

Comment, Surveys and Research, Bribery & Corruption

Danish police probe €830m tax fraud by foreign firms

The Danish Tax Assessment Council has alerted the country’s police after discovering that a large network of foreign companies has committed what could be Denmark’s largest-ever tax fraud.

Law Enforcement, Tax & Excise, Tax Fraud, Europe

UK fraudsters target immigrants in deportation scam

Asylum-seekers and illegal immigrants have been targeted in a scam unmasked by the UK’s National Fraud Intelligence Bureau (NFIB), which is part of the City of London Police force.

Law Enforcement, Confidence Schemes, Plastic Card & Payments