UK: Anti-Bribery Settlements

Anti-bribery enforcement actions by the UK. Financial Services Authority against Willis Limited and by the UK Serious Fraud Office against Macmillan Publishing Limited continue the trend of activity by UK authorities in pursuing corporate anti-corruption matters with significant penalties.

The actions also make clear that increased information is available to regulators through a variety of sources; that risk assessments remain an important component of an effective compliance program; and that compliance procedures should be practical, effective, and overseen by senior management and board governance bodies. Given active enforcement and continued cooperation among regulators, companies should consider enhancing their compliance programs and their strategic responses to regulators should an inquiry arise.

Willis Limited

On July 21, 2011, the UK Financial Services Authority (FSA) issued a Final Notice imposing a penalty of 6.895 million pound on insurance broker Willis Limited (Willis) relating to inadequate controls over third parties who assisted in securing business in jurisdictions with perceived high corruption risks. The Final Notice describes the following bases for the enforcement action:

==> between January 2005 and August 2008, Willis did not adequately establish and record the business rational for use of third parties; did not perform sufficient due diligence of third parties; and did not ensure that employees complied with record keeping and diligence requirements regarding third parties;

==> Willis introduced improved anti-bribery policies and guidance in August 2008, but did not ensure that the policies were adequately implemented; and 

==> Willis' board did not receive sufficient information from management to assess the performance of the company