PCB Byrne
5 Experts
15 Contributions by PCB Byrne Experts
PRACTICE NOTES
What is the CMA?
From 1 April 2014, the Competition and Markets Authority (CMA) assumed many duties formerly carried out by the Competition Commission and the Office of Fair Trading. As an independent government department, it works to keep markets fair for both businesses and consumers, promoting competition by probing anti-competitive behaviour such as price-fixing and unfair trading practices.
Scrutinising mergers that could lessen competition
Undertaking market studies and investigations where competition or consumer issues may arise
Examining suspected breaches of UK bans on anti-competitive agreements and abuses of dominance
Bringing criminal cases against individuals who commit the cartel offence
Enforcing consumer protection laws to address practices and market conditions that hinder consumer choice
Co-operating with sector regulators and encouraging the use of their competition powers
Considering regulatory references and appeals
Dealing with digital markets and the
Risk & Compliance
PRACTICE NOTES
This Practice Note outlines the key considerations when a client is under investigation for a criminal offence and concerned about adverse publicity. It sets out what information investigators may disclose during a criminal investigation and highlights the measures available to minimise harm to a client’s reputation. It further clarifies the nature of any information investigators might make public during the course of their enquiries, and also points to steps to safeguard reputation.
Identifying suspects of crime
For corporate and high profile clients, safeguarding an untarnished reputation if they are investigated for a criminal offence is paramount. Practitioners should take defined steps to ensure this risk is reduced as far as possible. Where the client is a corporate body subjected to a dawn raid, directors should ensure staff are instructed not to tell anyone that the search is taking place, not to discuss it, and not to send any
Corporate Crime
PRACTICE NOTES
Practice Note
This Practice Note acts as a concise signpost to the different authorities able to raid organisations, the legal footing that permits such action, and the breadth of their powers. It also summarises the consequences for not meeting their requirements.
Practice Notes
For fuller detail on each authority, consult these Practice Notes:
Dealing with dawn raids by the police—key information
Dealing with dawn raids by the Financial Conduct Authority—key information
Dealing with dawn raids by the Serious Fraud Office—key information
Dealing with dawn raids by HM Revenue & Customs—key information
Dealing with dawn raids by the Competition and Markets Authority—key information
Dealing with dawn raids by the Health and Safety Executive—key information
Dealing with dawn raids by the Information Commissioner’s Office—key information
Investigator
Basis of authority, powers and penalties
Enter
Search
Seize documents / materials
Ask questions
Use reasonable force to enter, where necessary
Require the occupier to ensure the premises are left
Risk & Compliance
PRACTICE NOTES
This Practice Note explains what the Financial Conduct Authority (FCA) is, why it might execute a raid, the scope of its powers, and what happens if you do not co-operate during a raid.
What is the FCA?
The FCA supervises financial services firms operating in the United Kingdom that provide services to consumers. It also works to preserve the integrity of the United Kingdom’s financial markets. The FCA concentrates on overseeing firms across the retail and the wholesale financial services sectors. The Prudential Regulation Authority (PRA) regulates PRA-authorised firms (principally deposit takers, designated investment firms and insurers). The FCA further has an Enforcement Department that employs a broad suite of criminal, civil and regulatory powers to protect consumers and to take action against firms or individuals that fail to meet the FCA’s standards.
What is a dawn raid?
A dawn raid is an
Risk & Compliance
PRACTICE NOTES
Introduction to the senior managers regime
The Senior Managers and Certification Regime (SM&CR) is a comprehensive framework of legislation, regulation and conduct standards designed to cut consumer harm and uphold market integrity by ensuring individuals are accountable for their behaviour and competence. It covers UK financial institutions, including banks, building societies, credit unions, PRA‑designated investment firms and insurers.
For an introduction, see Practice Note: SM&CR—one minute guide. Further background and the key principles are outlined in:
SM&CR—essentials for banks and PRA‑designated investment firms
Conduct Rules for SM&CR Firms
The SM&CR was shaped by the Independent Commission on Banking (ICB) and the Parliamentary Commission on Banking Standards (PCBS), established following the LIBOR scandal. For detailed analysis of LIBOR and subsequent enforcement, see Practice Notes: Benchmark enforcement action—essentials [Archived] and Conspiracy to defraud. See also, News Analysis: Libor manipulation and defining dishonesty. The PCBS report,
Corporate Crime
PRACTICE NOTES
What is HMRC?
HM Revenue and Customs (HMRC) manages the administration and collection of UK taxes. Its scope includes:
Direct taxes: income tax and corporation tax
Capital taxes: capital gains tax and inheritance tax
Indirect taxes: value added tax
Excise duties
Stamp duty land tax
HMRC is also a law enforcement authority investigating serious organised fiscal crime, taking on work formerly carried out by HM Customs and Excise (excluding drug trafficking), such as tobacco and alcohol smuggling.
Main reasons for an HMRC raid
There is an online facility and a hotline for reporting suspected tax fraud; submissions are reviewed by HMRC. Where it considers there is a basis to proceed, HMRC may make arrests and search premises. It also engages in insolvency processes and, as a creditor, if it identifies potential tax frauds it will investigate and may raid business
Risk & Compliance
PRACTICE NOTES
This Practice Note outlines how the Proceeds of Crime Act 2002 (POCA 2002) addresses the sharing of information within the regulated sector and, specifically, how POCA 2002, Pt 7 (Money Laundering) provides for voluntary disclosures, compulsory notifications and collaborative joint disclosure submissions (often called ‘superSARs’)
These provisions should be read alongside the principal money laundering offences of:
concealment, arrangement or the acquisition, use or possession of criminal property (refer to Practice Notes: Money laundering offences—concealing, disguising, converting, transferring and removing; Money laundering offences—acquisition, use and possession; and Money laundering offences—the arrangement offence), respectively
non-disclosure of a suspicion of money laundering by a person in the regulated sector, a nominated officer within the regulated sector, or another nominated officer (refer to Practice Note: Money laundering offences—failure to disclose offences)
tipping off within the regulated sector and acts that prejudice an investigation which may
Corporate Crime
PRACTICE NOTES
What type of police could I encounter?
The police generally investigate most offences across the UK on a day-to-day basis. Policing is arranged by location and, in some cases, by the nature of the suspected offence or circumstance. The City of London Police are a specialist force for the ‘square mile’ in London, with a dedicated economic crime and fraud unit based there. The Metropolitan Police Service, often called ‘the Met’, is the territorial force for Greater London, excluding the City’s ‘square mile’ area. Beyond these, county constabularies operate throughout the UK, alongside other specialist forces in certain major urban centres and conurbations. All of these forces possess the same powers and tools when it comes to executing search warrants, across their jurisdictions, in practice as needed.
Main reasons for a police raid
Police may enter premises either with a warrant or without one,
Risk & Compliance
PRACTICE NOTES
What is the HSE?
The Health and Safety Executive (HSE) is the Great Britain-wide regulator for health and safety at work. Its purpose is to stop fatalities, injury and ill-health in workplaces across Great Britain. It also seeks to protect others, including the public, who might be affected by work activities. To meet these aims, the HSE deploys a range of approaches, including permission and licensing regimes, inspections and investigations, carried out by the regulator and its inspectors.
What is a dawn raid?
A dawn raid is an unannounced attendance by authorities at named premises to enter and search those premises without prior notice.
Main reasons for an HSE raid
HSE inspectors hold broad powers to investigate incidents involving non-compliance with health and safety law. They act to enforce the law when breaches, hazards or serious risks are found and identified. The HSE says it is guided by its
Risk & Compliance
PRACTICE NOTES
This Practice Note explains what the SFO is, why it may conduct a raid, the scope of its powers, and the implications of not co-operating with one.
What is the SFO?
The Serious Fraud Office (SFO) investigates serious or complex fraud and corruption, often featuring an international aspect or likely to draw publicity. The SFO states it undertakes a small number of large economic crime cases. When deciding whether to open an investigation, the Director applies the Statement of Principle, taking into account:
whether the apparent criminality undermines UK PLC commercial or financial interests in general and in the City of London in particular
whether the actual or potential financial loss involved is high
whether actual or potential economic harm is significant
whether there is a significant public interest element
whether there is a new species of
Risk & Compliance
PRACTICE NOTES
The UK Government has enacted measures allowing various UK authorities to secure search warrants to ‘raid’ business premises. For many companies, the risk of a dawn raid is part of everyday operations, driven by the growing criminalisation of corporate conduct, the rise in regulatory criminal offences, and the spread of money laundering legislation and regulations. The chance of intervention has further increased with the Bribery Act 2010 and the corporate offence of failing to prevent bribery, the Criminal Finances Act 2017 creating a corporate offence of failing to prevent tax evasion, and the widening of corporate criminal liability together with a new offence of failing to prevent fraud introduced by the Economic Crime and Corporate Transparency Act 2023 (ECCTA 2023).
As technology within businesses continues to develop, organisations must keep information and policies current so staff understand how to respond
Risk & Compliance
PRACTICE NOTES
A dawn raid may target any enterprise, regardless of scale, so every company should remain alert to the risk of such action. As commercial behaviour faces growing criminalisation, with more regulatory offences and an expanding web of money laundering rules, the likelihood of enforcement officers executing a raid has become a routine prospect for many organisations. The chance of UK authorities stepping in rose with the Bribery Act 2010. It climbed again with the creation of the corporate offence of failing to prevent bribery, the corporate offence of failing to prevent tax evasion under the Criminal Finances Act 2017, the widening of corporate criminal liability, and the introduction of an offence of failing to prevent fraud via the Economic Crime and Corporate Transparency Act 2023. As business technology keeps advancing, firms must ensure their data handling and internal policies stay current so
Risk & Compliance
PRACTICE NOTES
This Practice Note gives practical guidance on responding to a dawn raid by the Information Commissioner’s Office (ICO). It outlines what the ICO is, common grounds for a raid, its powers, and the consequences of not co‑operating. It reflects the UK General Data Protection Regulation (GDPR). All GDPR references and links are to the UK GDPR (Retained Regulation (EU) 2016/679), unless stated otherwise.
What is the ICO?
The ICO is an independent authority established by the UK government to uphold information rights in the public interest, promote openness in public bodies, and protect individuals’ data privacy. It is an executive non‑departmental public body sponsored by the Department for Digital, Culture, Media & Sport. The ICO oversees and may enforce:
Data Protection Act 2018 (DPA 2018)
GDPR
Freedom of Information Act 2000
Environmental Information Regulations 2004
Privacy of
Risk & Compliance
PRACTICE NOTES
This Practice Note provides high-level guidance on engaging with the National Crime Agency (NCA). It describes the NCA’s role, powers and strategy, its statutory objectives and current priorities, and what it expects from private sector organisations, including self-reporting.
Role and powers
Role
The NCA is the UK’s lead law enforcement body for organised crime, including cyber and economic crime, that crosses regional and international boundaries. Its workforce of over 5,000 officers is stationed across the UK and in key locations worldwide. Created by the Crime and Courts Act 2013, it succeeded the Serious Organised Crime Agency. A core feature of the NCA’s approach is collaboration and co-ordination with partners such as the Serious Fraud Office, HM Revenue and Customs, Immigration Enforcement, Border Force and the police, alongside strong engagement with the private sector. The NCA undertakes a broad spectrum of law enforcement activity,
Corporate Crime
PRECEDENTS
1 Introduction
1.1
A dawn raid may take place at any company, whether large or small, so all organisations should remain alert to the chance that one could occur.
1.2 What is a dawn raid?
1.2.1
A dawn raid is an unannounced attendance by the police and/or investigators from another prosecuting authority to search premises and collect material where there is a suspicion that the business or a person connected with it has engaged in criminal conduct.
1.2.2
During such a visit, investigators may:
examine paper and digital records
review and remove documents, electronic data and devices, and
question staff
1.3 Who can carry out a dawn raid?
The range of prosecutors and regulators empowered to conduct dawn raids has grown in recent years. Law Enforcement Agencies able to do so include (without limitation) the Serious Fraud Office, the Financial Conduct Authority, the police, the Health and Safety
Risk & Compliance
If you expected to see yourself on this page, click here.
