Steven Francis Comments on Economic Crime and Corporate Transparency Act With FT Adviser

In an article for FT Adviser, London insurance partner Steven Francis discussed the Economic Crime and Corporate Transparency Act (ECCTA), which allows companies to be held responsible for the acts of managers who commit crimes.  

The article noted that the ECCTA, which went into effect in 2023, allows companies to be prosecuted if its manager engages in criminal behavior while acting within the scope of their management role. The goal of the legislation, the publication said, is to make it easier to attribute criminal liability in financial crimes because of the acts of senior personnel. Francis said the ECCTA can also open the door for the Financial Conduct Authority (FCA) to deal with cases that don’t meet a criminal threshold. 

“It’s not quite as terrifying being [disciplined] by the FCA, but it’s quite a good way of making sure that the conduct that doesn’t meet the criminal standing doesn’t go unpunished,” Francis said.