Share on LinkedInShare on LinkedIn

ARTICLE · 14 FEBRUARY 2025

Economic Crime And Corporate Transparency Act

Employer Fault in Internal Misconduct Under the Economic Crime and Corporate Transparency Act...

TurkeyCorporate/Commercial Law

Employer Fault in Internal Misconduct Under the Economic Crime and Corporate Transparency Act

Within the framework of the "Economic Crime and Corporate Transparency Act" enacted by the United Kingdom, significant provisions came into effect as of March 2024.

In this context, it is understood that companies operating in the United Kingdom that fail to take adequate measures to combat internal misconduct and benefit from the misconduct of their employees may face sanctions. Under this law, a new offense called 'failure to prevent fraud' has been defined, where companies can be held responsible for crimes such as fraud committed by their employees.

Purpose of the Law

The Economic Crime and Corporate Transparency Act aims to significantly reduce corporate misconduct by implementing strict verification of identity processes for company directors and shareholders. The law seeks to enhance data integrity and accountability of companies registered with Companies

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

See more popular content from