Financial Crime Time - Your update from RPC: 2025 Q2

The Serious Fraud Office (SFO) has introduced new guidance offering businesses a clearer route to avoid prosecution in bribery cases. If a company self-reports suspected wrongdoing and fully cooperates with investigators, it can expect to be invited to negotiate a Deferred Prosecution Agreement (DPA) rather than face prosecution, unless exceptional circumstances apply.

The guidance provides a direct and secure reporting portal to the SFO’s Intelligence Division, facilitating easier self-reporting. It also provides some further detail on what constitutes "genuine cooperation", including the preservation of digital and hard copy material, presenting the facts on suspected criminal conduct, and early engagement with the SFO on any internal investigation. Conversely, uncooperative conduct, such as attempts to "forum shop" by unreasonably reporting offending to another jurisdiction for strategic reasons, may hinder the process.

In return, the SFO has stated that it will contact the reporting company within 48 business hours, and will communicate its decision whether to open an investigation within six months. It will also seek to conclude DPA negotiations within six months of sending an invitation. This initiative is part of the SFO's broader strategy to enhance its operational environment and tackle serious and complex fraud, bribery, and corruption both domestically and internationally. It is a key step in the agency's attempts to identify new high profile financial crime cases to investigate and prosecute.

For more details, see the official announcement: SFO Sets Out Route for Businesses to Avoid Prosecution.

In April, SFO charged United Insurance Brokers Limited (UIBL), a London-based insurance broker, with the offence of failure to prevent bribery under s.7 of the UK Bribery Act. The case concerns reinsurance contracts awarded to UIBL by state-owned companies in Ecuador between 2013 and 2016 and the charges follow an investigation into whether improper payments were made to influence public officials in Ecuador.

The SFO alleges that UIBL failed to prevent intermediaries acting on its behalf paying bribes in connection with the award of contracts worth over $38m with insurers covering the Ecuadorian public sector. The SFO states that UIBL received around $6.2m in commission for its role in arranging reinsurance, and approximately $3m of that was passed to intermediaries.

If the matter proceeds to a contested trail, it could lead to the Court providing judicial guidance on what may constitute "adequate procedures" under the Bribery Act.

For more details, see the official announcement: gov.uk - UK insurer charged with bribery in Ecuador

In a separate case, the SFO has also charged an individual, Jose Alejandro Zamora Yrala, with fraudulent trading. This charge has been brought in connected with the agency's investigation into AOG Technics, a UK based aviation business and relates to the creation of false documents relating to the origin, status and condition of spare aircraft parts.  Details of this charge have been released by the SFO. 

On 3 June, the SFO announced an investigation into Rockfire Investment Finance Plc and other companies in the Rockfire group. The case relates to allegations of fraud committed against Thurrock Council between 2016 and 2020.

The SFO has stated that Thurrock Council invested heavily in solar farms via a bond scheme in that period and that those bonds were sold by Rockfire. Rockfire subsequently entered liquidation. Thurrock Council was effectively declared bankrupt in 2022.

For more information on the investigation, see the SFO's announcement here.

The UK's SFO, France’s Parquet National Financier (PNF), and Switzerland’s Office of the Attorney General (OAG) have launched a new anti-corruption taskforce to enhance international cooperation. Announced on 20 March 2025, the taskforce aims to bolster joint efforts in tackling cross-border bribery and corruption.

All three countries possess extensive anti-bribery legislation with extraterritorial reach, enabling them to prosecute overseas criminal conduct linked to their jurisdictions. The taskforce will facilitate closer collaboration, case cooperation, and the sharing of expertise among the agencies.

The taskforce is expected to further strengthen already well-established links between the UK, French and Swiss agencies. The SFO has worked closely with both the PNF and OAG on recent high profile enforcing matters, including the bribery investigations in Airbus and Glencore.

The announcement of the taskforce comes at a significant time in the wider context of global enforcement of bribery laws. In February, President Trump signed an Executive Order pausing the enforcement of the US Foreign Corrupt Practices Act for at least six months. Although Nick Ephgrave, the Director of the SFO, has said that the creation of the taskforce was not linked to the US Executive Order, the timing of the announcement will focus attention on the efforts of the UK, French and Swiss authorities to take a leading role in global enforcement actions. 

You can view the official press release announcing the new taskforce here.

The UK government's Crime and Policing Bill 2025, which is currently being discussed by Parliament, is expected to introduce significant reforms to the law of corporate criminal liability. The reforms are expected to make it easier for prosecutors to establish the criminal liability of companies of the acts of their most senior employees.

This development will build on the Economic Crime and Corporate Transparency Act 2023 (ECCTA) which introduced a "senior manager" test as the primary means for establishing the liability of corporate entities for approximately 60 economic crimes. Under the "senior manager" test, a corporate entity can be criminally liable for the actions of its senior managers. Senior angers are individuals who play a significant role in managing or organising, or making decisions about the management or organisation of, a corporate or a substantial part of the corporate's activities.

The Crime and Policing Bill expands the use of that "senior manager" test to cover a much wider range of criminal offences, including environmental offences and cyber-related offences. This will effectively replace the existing "directing mind and will" test for establishing corporate liability, which has been interpreted narrowly by the courts.

For more details, see the official announcement: gov.uk - Crime and Policing Bill 2025

In March, former Liverpool Mayor Joe Anderson and ex-councillor Derek Hatton were among 12 individuals to have been charged with offences including bribery and misconduct in public office following a Merseyside Police investigation into council contracts. The charges stem from Operation Aloft, which examined the awarding of building contracts by Liverpool City Council between 2010 and 2020.

Anderson, 67, faces charges of one count of bribery, one count of misconduct in a public office, and one count of conspiracy to commit misconduct in a public office. Hatton, 77, is charged with one count of bribery and one count of misconduct in a public office. Additionally, 10 other individuals, including former council officials and associates, have been charged with various offences related to bribery and misconduct.

Anderson and Hatton have both denied the charges. Anderson maintains his innocence, stating he will fight to clear his name. Hatton has also denied the allegations.

Details of the charges have been published by Merseyside Police here. 

In April 2025, Jonathan Fisher KC commenced the second part of his Independent Review of Disclosure and Fraud Offences. The review will focus on key stages in the fraud lifecycle, including detection, reporting, disruption, investigation, prosecution, courts, penalties, and rehabilitation.

This represents the first independent review of UK fraud laws since 1986. The findings will inform the government's expanded fraud strategy, to be published later this year, and contribute to a united global response to tackle fraud.

According to the Crime Survey for England and Wales, fraud now makes up over 40% of all recorded offences, with an estimated £6.8bn lost annually by individuals in England and Wales alone. The review aims to enhance protections for the public and strengthen enforcement against perpetrators.

This follows the conclusion of the first part of Fisher KC's review, focused on disclosure in the digital age, that concluded in March 2025 with a report and series of recommendations. The Home Office, Ministry of Justice, and Attorney General’s Office are now taking forward those recommendations.

See the UK Government's announcement here.

The Serious Fraud Office (SFO) has published its 2025–26 Business Plan.  The Business Plan outlines the agency's strategic focus for the upcoming period. The plan places an emphasis on tackling complex economic crime through stronger enforcement, modernised tools, and greater transparency. Priorities set out in the plan include progressing reforms in the area of incentivising whistleblowers, building an asset confiscation enforcement team, promoting the new failure to prevent fraud offence, streamlining disclosure using AI-powered review tools, and enhancing collaboration with UK and global partners. The SFO aims to improve case outcomes, boost public confidence, and support victims more effectively.

The 2025-26 Business Plan can be found here. 

The Financial Conduct Authority (FCA) has announced a new five-year strategy which is focused on efficiency and supporting growth. The new strategy is generally aligned with the government's intention to reduce the amount of regulation and to stimulate growth. Under the strategy, the FCA will focus on four key priority areas, namely:

• being a smarter regulator
• supporting sustained economic growth
• helping consumers navigate their financial lives
• fighting financial crime.

With respect to fighting financial crime, the FCA has stated that it intends to focus on those who use their regulated status to do harm and to disrupt criminals. It will, through increased collaboration, also help firms operate as effective lines of defence. It is anticipated there will be a particular focus on APP fraud.

Details of the FCA's announcement are set out here.