Corporate crime update, September 2017

Welcome to the September 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 covers a number of jurisdictions summarised below. Click read more for the full article of each jursidiction.

UNITED KINGDOM/EUROPE

• Rise in HMRC dawn raids to combat tax evasion
• Organisations to face fines for cyber security failures under new government plans
• New sanctions reporting requirements for non-financial sector businesses
• FCA publishes answers to outstanding questions
• Herbert Smith Freehills assists with first prevention of corruption clause in Olympic Games host city contract
• SFO earns taxpayers £517 million in 12 months
• FCA publishes report on new technologies and AML compliance
• Individual arrested on suspicion of cryptocurrency fraud
• CMA consultation on revised penalties guidance 

GERMANY

• Germany in need of tougher laws against cyber crime
• Germany supports Peru in implementing OECD anti-corruption recommendations
• Deutsche Boerse management investigated for insider trading
• Manufacturers revealed as top victims of cyber attacks 

UNITED STATES

• NYDFS fines Habib Bank for AML violations 
• US charges several Turkish citizens, including former government officials, with US sanctions violation
• DOJ charges former army colonel with FCPA violation based on evidence collected from undercover operation
• US imposes sanctions on Venezuela adopting the Russian
  sanctions model
• US imposes sanctions on Chinese and Russian entities for alleged transactions with North Korea
• SEC settles with hedge fund advisor for insider trading
• Multiple states settle with Nationwide Mutual Insurance Company over 2012 data breach
• Seventh Circuit upholds first spoofing conviction under Dodd-Frank reforms
• Martin Shkreli found guilty of investor fraud

MIDDLE EAST

• Dubai hacker cheats American national of $500,000
• Dubai police warn of WiFi scams
• Company purchase officer on trial for bribery offences
• Business consultant acquitted of embezzling $5million from client
• Staff flee with embezzled funds
• British man deported from Dubai for tax fraud 

HONG KONG

• ICAC calls on corporate leaders and professionals to foster ethical culture from boardrooms to storerooms
• Hong Kong Court of Appeal finds against bank on the basis that the bank’s exclusion of liability clauses were unconscionable and unreasonable
• Asset managers and their senior management (including MICs) warned of action for regulatory non-compliance in Hong Kong
• SFC and Hong Kong police sign MoU to strengthen co-operation in combating financial crime 

CHINA, SOUTH EAST ASIA & INDIA

China

• Former Liaoning Province leader sentenced to life imprisonment
• Ex-senior executive of China Development Bank sentenced to 14 years' imprisonment
• China Securities Regulatory Commission imposes sanctions
• Former officer expelled from CPC
• Chinese authorities focus on combatting pyramid schemes

Malaysia

• Bribing of voters in focus as Malaysia polls near

Philippines

• Philippines no longer faces monitoring by APG

South Korea

• Prosecutors launch investigation into FA-50 Aircraft Deal
• Samsung heir sentenced to five years' imprisonment

Vietnam

• Ex-chairman publicly confesses to crimes 

Thailand

• Corruption hotline receives over 1,300 reports in its first month 

Singapore

• Former employees jailed for misappropriation of $5.1 million

India

• Marketing rules to be introduced for pharmaceuticals

AUSTRALIA

• Commonwealth Select Committee on a National Integrity Commission releases Report
• Parliamentary Joint Committee releases recommendations on whistleblower protections
• Global leaders commit to eradicating modern slavery at forum in Perth, Australia
• ASIC releases report on enforcement outcomes from the first half of 2017
• Anti-Money Laundering and Counter-Terrorism Financing Amendment Bill 2017 introduced into House of Representatives
• AUSTRAC and ACNC report identifies charitable sector as target for money laundering and terror financing
• Australian Criminal Intelligence Commission releases report on organised crime in Australia