UNITED KINGDOM Law and Practice Contributed by: James Burnie, Kathryn Dodds, Olga Antonova and Nicky Androsov, gunnercooke llp
• Fraud by Abuse of Position: A person commits this offence if he or she (by act or omission): (a) occupies a position in which he or she is expected to safeguard, or not to act against, the financial interests of another person; (b) dishonestly abuses that position and intends, by means of the abuse of that position to: (i) make a gain for himself/herself or another; or (ii) cause loss to another or to expose another to a risk of loss. 12.2 Areas of Regulatory Focus The regulators in the UK are focused on stopping any type of fraud, particularly where it may affect the UK retail market. Fraud is a particular issue that has arisen in respect of firms misrepresenting the nature of the products that they sell/make available to clients, as well as where they make a secret profit at the expense of their consumers.
In relation to authorised push-payment fraud (“APP fraud”), the UK has implemented a specific regime requiring payment service providers to put in place systems and controls to combat APP fraud. These requirements also require that, if someone is the vic - tim of APP fraud, they can claim for the loss. These rules will apply in relation to payments made via Faster Payments or CHAPS from one UK bank account to another, and will require both sending and receiving payment services firms to split the costs of reimburse - ment 50:50 in the event of APP fraud. 12.3 Responsibility for Losses Please see 12.2 Areas of Regulatory Focus .
951 CHAMBERS.COM
Powered by FlippingBook