Fraud

Recent Articles

•  

  12/05/2025

  England and Wales

  UK Supreme Court clarifies statutory provisions on fraudulent trading and limitation

  Judgment was handed down by the UK Supreme Court on 7 May 2025 in the last of a series of cases involving Bilta (UK) Ltd. The judgment clarifies who can be liable for fraudulent trading, and the operation of limitation when a previously dissolved company wishes to bring a claim for fraud.BackgroundBilta and certain other companies incorporated in England & Wales were used as so-called ‘missing traders’ to commit large-scale VAT fraud in connection with the spot trading of European Union Allowances (EUAs) issued under the EU Emissions Trading Scheme, commonly referred to as carbon...

  Read more
•  

  09/04/2025

  England and Wales

  High Court rules on asset freezing injunctions in Mold Investments Limited v Holloway

  In Mold Investments Limited v Holloway and Others [2025] EWHC 962, the High Court provided guidance on the exceptional circumstances in which cross examination of witnesses is permitted on interim applications. The judgment also serves as a reminder to respondents to without notice injunctions to act quickly if applying to set aside or vary the orders.BackgroundMold Investments brought a claim against two individual defendants (D1 and D2) alleging breach of fiduciary duties to Mold Investments related to alleged illegal dumping of waste in a quarry. Mold Investments sought compensation for remediation...

  Read more
•  

  15/01/2025

  China

  2025 – Topics that may Concern You

  Companies doing business in China constantly have to deal with changes in regulations and new laws. This will also continue in 2025.Topics such as the new PRC Company Law, new PRC Tariff Law, PRC Regulations on Export Control of Dual-Use Items, network data security management, data transfer, opening up capital markets to foreign investment, and raise of statutory retirement age of employees etc. will continue to be a concern for many companies in China in 2025.Complying with regulatory requirements is one of the key challenges for foreign companies and investors in China, not only in terms of...

  Read more
•  

  12/12/2024

  UK, Middle East, UAE

  Challenging calls under on-demand securities: the fraud exception

  A recent decision of the Qatar International Court, applying English law principles, has ordered revocation of a demand under an on-demand guarantee on grounds of fraud. English law takes a robust approach to enforcement of on-demand securities and will only injunct demands alleged to be fraudulent in the clearest of cases. This decision shows how evidence of contradictory positions taken by a beneficiary can be used to mount a successful challenge based on fraud.The fraud exceptionEnglish law allows only very limited grounds on which to challenge calls under on-demand securities issued by banks...

  Read more
•  

  11/11/2024

  United Kingdom

  Failure to prevent fraud offence: “reasonable procedures” guidance published and the countdown begins

  The UK’s Economic Crime and Corporate Transparency Act 2023 (“ECCTA”) makes various changes in the law relating to economic and financial crime.The official Guidance on the new offence of “failure to prevent fraud” (the “Guidance”) has now been published. Companies which have not already put anti-fraud procedures in place now have under 10 months in which to do so.The Failure To Prevent Fraud OffenceIn summary:The new offence will come into force on 1 September 2025.The new offence will apply  to large organisations  to which at least two of the...

  Read more
•  

  11/10/2024

  United Kingdom

  Real prospect of a legitimate benefit to the claimant from English proceedings sufficient for permission to serve a claim seeking to enforce a foreign judgment out of the jurisdiction

  In a recent judgment dismissing a jurisdiction challenge in relation to a claim seeking to enforce a judgment of the UAE courts, the Commercial Court (Stephen Houseman KC sitting as a High Court judge) has reiterated the correctness of the Court of Appeal’s decision in Fonu v Demirel [2007] 1 WLR 2508 to the effect that it does not need to be shown, on an application for permission to serve out of the jurisdiction a claim seeking to enforce a judgment, that there are any assets available for execution in England. It suffices that there is a real prospect of a legitimate benefit to the claimant...

  Read more