Legal news
The jailing of three UK businessmen for bid-rigging signals a new era of international cooperation to prosecute operators of cartels —but does not reduce the risk of US extradition, lawyers say.
The businessmen, arrested in the US but allowed to return to the UK as part of a plea agreement, were convicted of dishonestly participating in a cartel for the supply of marine hose and ancillary equipment in the UK and sentenced to between twoand- a-half to three years’ imprisonment following an investigation by the Office of Fair Trading.
Peter Kiernan, head of international investigations at Crowell & Moring and former SFO deputy director, says the US and UK authorities are now willing to act in concert to achieve the “optimal” conclusion in each case.
“The message is clear, law enforcement agencies on both sides of the Atlantic will co-operate to find the optimal solution for them, which means the worst possible solution for those in the firing line.”
An investigation into the companies involved in the cartel is currently being undertaken by the European Commission.
Kiernan says: “The EU investigation shows that a two-pronged approach with parallel or sequential criminal and civil proceedings can deliver the optimal spread of action against individuals and companies.
