The United Kingdom has been less successful at prosecuting major corporate scandals than the United States, the head of enforcement at Britain's financial watchdog said on October 17, but she expected an increased number of criminal cases to be brought.
Margaret Cole, director of enforcement at the Financial Services Authority, said the United Kingdom might be considered to have done "less well" at prosecuting white-collar crime than the United States, and could learn from the way things are done across the Atlantic.
The FSA, created in 1997, has used its criminal powers only once - in 2005, when it prosecuted directors of software group AIT Plc for criminal market abuse, she said.
While some notable victories had been achieved in the United Kingdom, such as convictions arising from the Guinness trials, she described successful prosecutions of white-collar criminals as "sparse."
That case, a high-profile prosecution success for Britain's Serious Fraud Office (SFO), resulted in convictions in 1990 against four businessmen found guilty of plotting to drive up the price of shares of brewing group Guinness. The SFO is a government department that investigates complex fraud.
Cole said that while there can be difficulties bringing criminal prosecutions, there are some cases where this route is appropriate. She said she expects more criminal cases to be brought by her organisation.
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