HMRC has reportedly brought its first-ever corporate prosecution under the failure to prevent the facilitation of tax evasion offence, almost eight years after the legislation was introduced in the Criminal Finances Act 2017.

Bennett Verby Ltd, a Stockport-based accountancy firm, was reportedly charged with the failure to prevent offence in connection with an alleged R&D credits repayment fraud. We understand that six individuals, including one of the firm's former directors, were also charged with offences including cheating the public revenue and money laundering. All appeared in Manchester Crown Court on 7 August 2025 but did not enter pleas, and a provisional trial date has been set, with the trial due to start on 27 September 2027.

https://www.hoganlovells.com/en/publications/hmrc-brings-first-prosecution-under-failure-to-prevent-facilitation-of-tax-evasion-laws

An individual has been found guilty of fraud, following a prosecution by the Financial Conduct Authority.

Appearing at Southwark Crown Court, Daniel Pugh was found guilty of one count of conspiracy to defraud, after setting up a Ponzi scheme that netted more than £1mn.

According to the regulator, Pugh took money from 238 investors through his fraudulent investment scheme “Imperial Investment Fund”.

Two leading criminologists from The University of Manchester are playing a key role in a national research project designed to tackle fraud in the NHS, which costs the UK taxpayer an estimated £1.3bn each year.

The initiative, known as Project SCAN (Strengthening Counter-Fraud Across the NHS in England), is led by Northumbria University and brings together experts from across the UK to improve understanding and responses to fraud within the health service.

https://www.thebusinessdesk.com/northwest/news/2156945-leading-criminologists-from-manchester-join-national-project-to-combat-nhs-fraud

Detectives from the Economic Crime Unit at Cheshire Police have charged a man from Telford with multiple counts of fraud.

Marc Cole-Jones, 52, of Church Grove, Donnington, Telford, has been charged with 22 counts of fraud by false representation.

https://www.cheshire.police.uk/news/cheshire/news/articles/2025/8/telford-man-charged-with-romance-fraud/

HS2 Ltd have reported one of their subcontractors to HMRC over alleged fraud involving pay for construction staff

The HS2 subcontractor fraud case will now be looked into by HMRC following HS2 Ltd’s own investigations into two of its contractors.

https://www.pbctoday.co.uk/news/hr-skills-news/hs2-subcontractor-fraud-case-sent-to-hmrc/152337/

A West Midlands financial director has been jailed after he used company credit cards to book luxury holidays to Florida and cruises.

David Carr, 34, from Bidford-on-Avon in Warwickshire, pleaded guilty in June to three counts of fraud.

Between April 2014 and August 2022, he abused his position of trust to steal £300,000 to fund a lifestyle he couldn’t afford and eventually caused the Bromsgrove IT company, where he was the financial director, to go into administration.

As well as trips to Disney World, he also bought high value items such as computers, high-tech gadgets and designer exercise bikes.

An investigation into Carr’s fraudulent gains started in August 2022 leading to his arrested in October 2022, and him being charged in July 2023.

https://www.shropshirestar.com/news/crime/2025/08/02/west-midlands-financial-director-jailed-after-using-company-credit-cards-to-fund-luxury-lifestyle-and-disney-world-holiday/

Five companies were closed after submitting false accounts claiming fictitious turnovers and profits without evidence of legitimate business activity

In a significant crackdown on corporate fraud, the Insolvency Service has shut down five companies that filed false accounts indicating substantial financial success. Automarket Europe Limited, Integra Group Limited, Maxell Limited, Montana & Montana Limited, and Supermarket Plus Ltd, all linked through shared office addresses in South London and Croydon, falsely claimed to have turnovers exceeding £642 million while lacking any genuine business operations. These companies not only misrepresented their financial standings but also falsely cited reputable accountants as auditors, further complicating the integrity of their submissions.

Investigations by the Insolvency Service were initiated following referrals from Companies House, part of the ongoing enforcement of the Economic Crime and Corporate Transparency Act 2023 aimed at enhancing corporate accountability. The Act has granted Companies House the authority to eliminate any false or misleading information present in company registers, thereby bolstering the collaboration between agencies to deter the misuse of UK corporate structures.

The five offending companies found themselves in the High Court in Manchester, where they were wound up on 31 July. Dave Magrath, Director of Investigation and Enforcement Services at the Insolvency Service, articulated concerns surrounding the potential exploitation of their inaccurate accounts, remarking that "there was a genuine risk that these wildly inaccurate accounts could have been used to mislead potential customers and suppliers." He emphasised the necessity of preserving the integrity of the Companies House register, noting that "UK businesses rely on this information to make informed decisions about who they trade with, lend to, and invest in."

Each of the companies submitted accounts containing glaring discrepancies, including implausible jumps in reported assets without any explanatory context. For instance, Automarket Europe Limited declared a staggering turnover of £327 million alongside profits of £198 million for the year 2022, while claiming that its assets surged from £629,220 in 2021 to £84 million the following year. Integra Group Limited and Maxell Limited presented similarly outrageous claims, with the latter reporting a purported turnover of £440 million and £229 million in profits, along with assets purportedly expanding from £618,496 to £422 million in a single year.

https://www.solicitorsjournal.com/sjarticle/five-companies-shut-down-for-fraud?category=News

Problems with disclosure have haunted the Serious Fraud Office in recent years.

Disclosure is the obligation on a prosecutor to identify and provide to the defence material that either supports the defence case or undermines that of the prosecution.

An essential building block of disclosure is reviewing and then describing the material collected during an investigation — either individually or in batches, depending on what it is — on a list. This permits the prosecutor to decide from the description which material satisfies the test for disclosure.

There is no doubt that the burden of conducting disclosure is an onerous one. An average SFO case has 5mn documents, with the largest having more than 48mn. The SFO estimated in 2024 that disclosure ate up around a quarter of its operational budget (which is smaller than its overall budget). But it is a vital part of a defendant’s right to a fair trial. When it goes wrong, the consequences can be catastrophic.

The collapse of high-profile SFO prosecutions in Serco and G4S and the overturned convictions in Unaoil led to two case specific reviews, one by Brian Altman KC and one by Sir David Calvert-Smith, whilst the third was the subject of an inspection by HM Crown Prosecution Service Inspectorate. All three described an organisation that was under resourced and which under prioritised disclosure.

Looking for solutions, the government commissioned Jonathan Fisher KC to conduct an independent review of the disclosure regime in all cases that involve large volumes of digital material, including but not limited to those handled by the SFO.

A new era in corporate fraud enforcement is here.

Nicholas Ephgrave QPM, Director of the Serious Fraud Office (UK) (SFO), has unveiled a bold, proactive strategy to tackle corporate crime. With record-breaking performance already under his belt, Ephgrave is driving:

• Faster investigations: average charge time slashed from 4.3 years to under 2.

• Smarter tech: AI tools delivering 40% efficiency gains in live cases.

• Bigger teams: SFO staff expanding to nearly 700 by next year.

•  Global collaboration: new international anti-corruption taskforce launched.

• Tougher laws: leveraging new powers under the Economic Crime and Corporate Transparency Act, including the upcoming Failure to Prevent Fraud offence.

Ephgrave’s vision? A sharper, faster SFO that doesn’t just react—but hunts for cases, educates businesses, and prevents fraud before it happens.

https://www.icaew.com/insights/viewpoints-on-the-news/2025/jul-2025/sfo-chief-heralds-more-dynamic-era-of-fighting-fraud

Fraud is no longer a distant threat — it's a boardroom issue.

UK businesses are facing a surge in fraud-related risks, from cybercrime to internal misconduct. As Andrew Herring of Pinsent Masons rightly points out, the cost of inaction is rising — not just financially, but reputationally.

Why act now?

• Fraud is evolving faster than many businesses can respond.

• Regulatory scrutiny is intensifying.

• Stakeholders expect transparency and resilience.

What can businesses do?

• Embed anti-fraud controls into governance frameworks.

• Empower whistleblowers and protect them.

• Invest in training, tech, and culture that prioritises integrity.

As someone passionate about business ethics and corporate responsibility, I believe it's time we move from reactive to proactive. Fraud prevention isn’t just a compliance issue — it’s a strategic imperative.

https://www.insidermedia.com/blogs/midlands/counting-the-cost-of-fraud-why-uk-businesses-must-act-now