Episode 214

9th January – 11th January 2026

Sanctions

OFAC Removes One Entity and Updates Russia‑Related Sanctions

The US Office of Foreign Assets Control (‘OFAC’) has issued a Russia‑related sanctions update, announcing the removal of one previously designated entity from its Specially Designated Nationals List and making additional adjustments to existing Russia‑related listings. The update reflects OFAC’s ongoing maintenance of sanctions programmes, ensuring accuracy and alignment with current policy and investigative findings.

Fraud

White House Launches New DOJ Division to Lead National Fraud Crackdown

The White House has announced the creation of a new Department of Justice division dedicated to national fraud enforcement, outlining an effort to strengthen federal responses to financial crime and protect public funds. According to a White House fact sheet, the division will coordinate investigations across agencies, expand prosecutorial capacity, and focus on emerging fraud risks affecting taxpayers and federal programmes. Officials describe the move as part of a broader strategy to modernise enforcement tools and ensure more consistent oversight across the country.

SFO Repatriates £400,000 to Victims After International Email Scam Investigation

The UK Serious Fraud Office has returned £400,000 to victims of a global email fraud scheme, concluding a recovery effort which followed the conviction of the individual responsible for laundering the proceeds. The funds were traced and secured after the SFO’s investigation uncovered how the fraudster moved money through UK accounts as part of a wider international scam. According to the announcement, the repatriation marks the final step in the case and reflects the agency’s continued focus on returning illicit assets to victims of economic crime.

Money Laundering

TD Bank employee admits role in $2m money‑laundering scheme

A former TD Bank employee has pleaded guilty to helping criminals launder more than $2 million by using his insider access to flag and override fraud alerts, allowing illicit funds to move through customer accounts undetected. Prosecutors say he worked with co‑conspirators who funnelled proceeds from various scams through the bank, with the insider’s actions enabling the scheme to continue until investigators uncovered the activity.

Spotlight on Corruption responds to HM Treasury’s AML consultation

Spotlight on Corruption responded to HM Treasury’s consultation on anti-money laundering (‘AML’) supervision reforms, supporting FCA oversight of professional services firms. It recommends stronger enforcement, including criminal prosecution under the MLRs and POCA 2002, high-value fines for major breaches, and minor fines for routine non-compliance. The group backs FCA public registers, fit and proper tests for firms, enhanced FCA powers to identify unregistered businesses, and closing enforcement gaps. Additional calls include a new corporate offence of failing to prevent money laundering, better whistleblower protections, clearer AML guidance, and ensuring robust transition arrangements and FCA governance to maintain UK financial integrity. The Consultation document is here, and Spotlight on Corruption’s response is here.

Bribery and Corruption

Belgium falls short on anti‑corruption reforms, GRECO warns

GRECO’s latest assessments find that Belgium has made only limited progress in implementing long‑standing anti‑corruption recommendations, with just eight of 15 measures for parliamentarians, judges, and prosecutors fully met and only eight of 22 fulfilled for central government and law enforcement. While improvements are noted in judicial ethics, recruitment, and police oversight, GRECO criticises the lack of meaningful action on political integrity, top‑level government controls, and asset‑declaration systems, concluding that Belgium remains insufficiently compliant and must report back by November 2026.

EU and UNDP Conclude Regional Anti‑Corruption Training Programme in Uzbekistan

A series of regional anti‑corruption training sessions supported by the European Union and UNDP has concluded in Uzbekistan, bringing together government officials, civil society representatives, and local stakeholders to strengthen skills in transparency, integrity, and prevention practices. The programme focused on practical tools for identifying corruption risks, improving public‑sector accountability, and supporting ongoing national reforms aimed at building more resilient and responsive institutions.

Market Abuse

Ex‑Jefferies banker denies insider dealing charges ahead of 2028 trial

A former Jefferies International banker, Bobosher Sharipov, has pleaded not guilty to an FCA charge alleging he leaked confidential takeover information about GCP Student Living to his close associate, Bekzod Avazov, who is accused of using the tip to trade shares and spread bets for nearly £70,000 in profit. The alleged misconduct dates back to 2021, when the FCA’s market‑monitoring systems flagged Avazov’s trading as suspicious. Both men are now scheduled for trial in January 2028.

FCA fines former Carillion finance directors for reckless misleading statements

The FCA has fined Richard Adam (£232,800) and Zafar Khan (£138,900) for recklessly allowing Carillion to issue misleading market announcements despite knowing about serious financial problems in its UK construction business. The regulator found they failed to maintain adequate reporting controls, did not alert the Board or audit committee, and were knowingly concerned in Carillion’s breaches of the Market Abuse Regulation and Listing Rules.

Other Financial Crime

34 Suspected Black Axe Members Arrested in Spain in Europol‑Backed Crackdown

Spanish authorities have arrested 34 individuals linked to the ‘Black Axe’ criminal organisation during a coordinated operation supported by Europol, targeting a network accused of large‑scale fraud, money laundering, human trafficking, and other organised criminal activities across multiple countries. The action, which involved searches, digital forensics, and international cooperation, is part of a wider effort to dismantle the group’s operations and disrupt its presence across Europe and beyond.

CyberCrime

ICO Signs Memorandum of Understanding with UK Government to Strengthen Cooperation

The Information Commissioner’s Office (‘ICO’) has announced that it has signed a new Memorandum of Understanding (‘MoU’) with His Majesty’s Government, setting out how the two sides will work together while maintaining the ICO’s independence. The statement explains that the agreement clarifies roles, responsibilities, and expectations to support effective information‑rights regulation, particularly as government departments engage with the ICO on policy development and data protection matters. According to the ICO, the MoU formalises existing practices and aims to improve transparency around how the regulator and government interact.