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07 June 2007
Issue: 7276 / Categories: Legal News , EU , Commercial
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European employees too scared to blow whistle

One in five employees of European multinational companies say they won’t blow the whistle if they suspect a case of fraud, bribery or corruption in their organisation, according to a new study.

The survey, Fraud Risk Mitigation in 13 European Countries, shows that UK employees would be the most comfortable about dobbing in their companies (86%) while employees in France (39%) feel the least at ease about blowing the whistle in the workplace for fear of reprisals.

Ernst & Young interviewed 1,300 employees of multinational companies in eight western European and five central and eastern European countries—100 respondents in each country—asking how they thought anti-fraud measures were implemented within their employer organisations.  
Only 38% of respondents are aware of a whistle-blower hotline in their workplace, highlighting the lack of education and awareness in many companies. UK respondents showed the greatest awareness (72%) and Slovakian the least (27%).

John Smart, fraud investigation and dispute services partner at Ernst & Young, says: “The UK has developed a very strong reporting culture, based on

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NEWS
A landmark Supreme Court ruling has underscored the sweeping reach of UK sanctions. In NLJ this week, Brónagh Adams and Harriet Campbell of Penningtons Manches Cooper say the regime is a ‘blunt instrument’ requiring only a factual, not causal, link to restricted goods
Fraud claims are surging, with England and Wales increasingly the forum of choice for global disputes. Writing in NLJ this week, Jon Felce of Cooke, Young & Keidan reports claims have risen sharply, with fraud now a major share of litigation and costing billions worldwide
Litigators digesting Mazur are being urged to tighten oversight and compliance. In his latest 'Insider' column for NLJ this week, Professor Dominic Regan of City Law School provides a cut out and keep guide to the ruling’s core test: whether an unauthorised individual is ‘in truth acting on behalf of the authorised individual’
Conflicting county court rulings have left landlords uncertain over whether they can force entry after tenants refuse access. In this week's NLJ, Edward Blakeney and Ashpen Rajah of Falcon Chambers outline a split: some judges permit it under CPR 70.2A, others insist only Parliament can authorise such powers
A wave of scandals has reignited debate over misconduct in public office, criticised as unclear and inconsistently applied. Writing in NLJ this week, Alice Lepeuple of WilmerHale says the offence’s ‘vagueness, overbreadth & inconsistent deployment’ have undermined confidence
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