header-logo header-logo

Risky business

nlj_7798_henderson

As a result of the Criminal Finances Act 2017, there are new risks for directors and officers and their insurers. Jonathan Newbold & Marlene Henderson investigate.

The recent implementation of the Criminal Finances Act 2017 (CFA) marks the latest legislative crackdown on corporate financial crimes. The CFA has extended the powers of law enforcement agencies to recover the proceeds of crime (including tax evasion, money laundering and terrorist financing) and introduced a strict corporate accountability. The additional scrutiny on corporations and their senior management team is likely to have a knock on effect for D&O policy holders and their insurers.

Criminal Finances Act – what is it?

The CFA, which came into force on 30 September 2017, is fine tuning the approach towards financial crime and extending the powers set out in the Proceeds of Crime Act 2002. The driving force behind the CFA was growing concern about levels of tax evasion and a lack of accountability by senior management.

What does the Criminal Finances Act 2017 cover?

In short, and most significantly

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

Birketts—trainee cohort

Birketts—trainee cohort

Firm welcomes new cohort of 29 trainee solicitors for 2025

Keoghs—four appointments

Keoghs—four appointments

Four partner hires expand legal expertise in Scotland and Northern Ireland

Brabners—Ben Lamb

Brabners—Ben Lamb

Real estate team in Yorkshire welcomes new partner

NEWS
Robert Taylor of 360 Law Services warns in this week's NLJ that adoption of artificial intelligence (AI) risks entrenching disadvantage for SME law firms, unless tools are tailored to their needs
The Court of Protection has ruled in Macpherson v Sunderland City Council that capacity must be presumed unless clearly rebutted. In this week's NLJ, Sam Karim KC and Sophie Hurst of Kings Chambers dissect the judgment and set out practical guidance for advisers faced with issues relating to retrospective capacity and/or assessments without an examination
Delays and dysfunction continue to mount in the county court, as revealed in a scathing Justice Committee report and under discussion this week by NLJ columnist Professor Dominic Regan of City Law School. Bulk claims—especially from private parking firms—are overwhelming the system, with 8,000 cases filed weekly
Charles Pigott of Mills & Reeve charts the turbulent progress of the Employment Rights Bill through the House of Lords, in this week's NLJ
From oligarchs to cosmetic clinics, strategic lawsuits against public participation (SLAPPs) target journalists, activists and ordinary citizens with intimidating legal tactics. Writing in NLJ this week, Sadie Whittam of Lancaster University explores the weaponisation of litigation to silence critics
back-to-top-scroll