Bribery

Mandatory order to stop bribery investigation?

13 October 2016 by David Hart KC

R (o.t.a Soma Oil & Gas) v. Director of the Serious Fraud Office [2016] EWHC 2471 (Admin) 12 October 2016 – read judgment

Soma are investing heavily ($40m spent on seismic work) in looking at oil and gas extraction in Somalia, so it was a bit of a set-back, to say the least, when their “capacity-building” efforts – funding infrastructure in the relevant Ministry – were alleged to fall under the Bribery Act 2010, and this led to a fraud investigation by the UK SFO. The investigations, as investigations do, dragged on, and Soma brought these, somewhat ambitious, proceedings to get an order telling the SFO to stop them.

As you may have guessed, the claim failed, though, as we will see, it may have achieved rather different benefits.

The judgment of the Administrative Court is a concise account of when the private challenger can and cannot seek orders in respect of investigations and prosecutions – whether to stop or start them. Here Soma wanted to stop the investigation. In other circumstances, a victim may want the authorities to start an investigation or prosecution into another party: see, e.g. Chaudhry, decided earlier this week.

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New anti-bribery measures become law

12 April 2010 by Kate Beattie

The Bribery Bill received Royal Assent on 8 April 2010, heralding a new approach to tackling corruption and seeking to make the UK compliant with the OECD Anti-Bribery Convention.

Anti-corruption body Transparency International welcomed the new law, describing it as historic, long overdue and sending out a strong message that the UK will not tolerate bribery. It is hoped that the new legislation will encourage ethical practices in the business world.

The connection between corrupt business practices and breaches of human rights has long been recognised. In their comment on the draft Bribery Bill, The Corner House said:

“most large-scale bribery is committed for the benefit and on behalf of businesses and that bribery often infringes upon a wide range of human rights, both directly and indirectly. As such, a commercial organisation’s negligent failure to prevent bribery should remain a criminal offence.”

Meanwhile, the Campaign Against Arms Trade and The Corner House are not pursuing an appeal for permission for judicial review of the Serious Fraud Office’s decision to enter a plea bargain settlement with BAE Systems and to drop “conspiracy to corrupt” charges against a BAE former agent. The organisations say that the action has been withdrawn with regret as a recent admission by the SFO makes it difficult to sustain any legal challenge.

Read more:

• Afua Hirsch in The Guardian