The City of London Police have today announced plans to expand the size and operational scope of its Economic Crimes Department (see note 1). This development, created in close discussion with the Serious Fraud Office, is being enabled by extra funding made available to the City force. It will provide an increased pool of police expertise, ring-fenced for fraud investigations, on which the SFO will be able to draw for cases not only in London, but also throughout the Home Counties.
SFO Director Robert Wardle said, "I am greatly encouraged by the extra funding being made available to the City of London Police to increase their fraud investigation capacity. City Police have a deserved high reputation in this field and we have valued their support over the years on many SFO cases. An expanded City fraud team will boost their ability to participate in more of our cases. Their availability as a `lead force' in London and the south east is an encouraging new development in fraud case resourcing. Together with the increase in funds for the SFO (see note 4), this initiative sends out a potent message that economic criminals can expect to face a harder time".
Notes for editors:
This statement is issued in tandem with the press release from City of London Police and the press conference given at the Guildhall at 9.30 a.m. today. The press conference was chaired by Commissioner James Hart of the City of London Police. Also participating were Chief Superintendent Ken Farrow (City of London Police Economic Crime Department), Robert Wardle (Director, Serious Fraud Office) and Michael Snyder, (Chairman Policy and Resources Committee, Corporation of London). The City of London Police press release is available from 020 7601 2258 (Jaki Wilson, City Police Press Officer) or www.city-of-london.police.uk
The Serious Fraud Office is a government department. At its head is the Director (Robert Wardle) who exercises his powers under the superintendence of the Attorney General. These powers are derived from the Criminal Justice Act (1987). The SFO's jurisdiction comprises England, Wales and Northern Ireland.
The role of the SFO is to investigate and prosecute cases of alleged fraud that are considered to be large or complex in nature, cases that are deemed to require the combined legal and investigative case management methods, resources and powers of the SFO. Typically these cases are referred to the SFO by the police or by other government bodies. The police contribute to the investigation as part of the case team.
In addition to the planned increase in funding for City Police (being provided by the Home Office and the Corporation of London), additional resources for the SFO have been obtained by the Attorney General. The SFO resources budget is £23.4m for 2003/04, rising to £30.4m for 2004/05 and rising again for 2005/06 to £35.4m.
The SFO currently has 71 cases throughout its jurisdiction either under investigation or where proceedings are underway. Thirty-one of these cases are in the south east, seven of which are City Police referred cases. (The "south east" comprises the police constabulary areas of the two London forces, Kent, Sussex, Surrey, Hampshire, Thames Valley, Cambridgeshire, Bedfordshire, Hertfordshire, Essex, Suffolk and Norfolk).
The 71 cases under SFO direction amounts to nearly £2 billion at risk. (The Home Office report "The Economic Cost of Fraud" produced by the National Economic Research Associates calculated the cost of fraud - excluding money laundering - to be £13.8 billion in 2000. i.e. £10.3 billion actual fraud sum and £3.5 billion consequential expenditure).
Since the SFO commenced operation in 1988, it has prosecuted 570 defendants in 268 trials, of whom 403 (71%) defendants were convicted. Convictions have been achieved in 83% of the trials.
The SFO has 231 staff comprising lawyers, financial investigators, computer forensic specialists and case support and administration staff. This number is complimented by prosecuting counsel and police officers on attachment to the SFO on a case by case basis. Each case is led by a case controller who is a senior SFO lawyer.
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