Worldwide: White Collar Crime, Anti-Corruption & Fraud

Understanding how HMRC calculates penalties under Schedule 24 is crucial for taxpayers facing investigations. The penalty framework considers the taxpayer's behavior and level of culpability, ranging from innocent mistakes to deliberate concealment, with significantly different financial consequences at each level.

Jersey has assembled one of the most comprehensive white-collar crime frameworks among international finance centres, featuring deferred prosecution agreements, failure-to-prevent-money-laundering offences, and an autonomous Financial Intelligence Unit. Yet while some enforcement tools see regular deployment—money-laundering prosecutions, confiscation orders—others remain largely untested, raising questions about whether legislative ambition translates into practical deterrence.

The UK's HM Revenue and Customs has imposed a substantial compound penalty on Petrofac Facilities Management Limited for breaching Russia sanctions, marking a significant shift in enforcement policy. This case reveals new guidance on when HMRC will pursue compound penalties versus prosecution, and signals a major change in the agency's approach to publicly naming violators. The announcement provides crucial insights into the factors HMRC considers when determining appropriate enforcement actions for strateg