Business Wire

Maire Tecnimont Sues NatWest Bank in UK Court Over “Push Payment” Fraud

Share

Maire Tecnimont Group, the Italian engineering multinational, is bringing legal action in the High Court in London against NatWest, following the bank’s failure to stop it falling victim to a “push-payment” fraud.

In 2018, Maire Tecnimont’s subsidiary in Saudi Arabia was duped (via an internal email account hacked by unidentified criminal elements) into sending $5 million to a bank account held with NatWest.

Despite this account having seen very little activity in the preceding period, and none involving such large sums, NatWest did not freeze the account pending further investigation. The controller of the NatWest account then appears to have almost immediately dispersed the stolen money in a flurry of numerous large payments to bank accounts in several different countries. NatWest allowed these payments to take place, despite the fact that they prompted two internal fraud alerts at the UK bank. Maire Tecnimont’s legal action claims this was a breach of the bank’s obligations under UK regulations against money laundering and terrorist financing. The funds paid out of the NatWest account became untraceable, for all practical purposes. They have not been recovered and are presumed to have fallen into criminal hands.

Maire Tecnimont is suing for $3.76 million - the amount still left in the account when NatWest’s first fraud alarm was triggered - plus interest and costs. According to the claim, Natwest fell short of standards of commercially acceptable conduct for a bank in relation to the prevention of fraud, money laundering, terrorist financing and financial crime.

The legal action argues that banks have a responsibility to take appropriate steps to prevent the dissipation of stolen or laundered funds. It may create clarity in what is currently an uncertain area of English law by establishing whether banks are required to prevent all fraud perpetrated using their accounts, not just fraud against the bank’s own customers.

Robert Wynn Jones of Mishcon de Reya, legal representative of Maire Tecnimont, said:

“Maire Tecnimont confirms it is suing NatWest over its lamentable failure to prevent a push-payment fraud through which the company lost millions of dollars.

“It is unacceptable and, frankly, inexplicable that NatWest did not prevent this fraud. The sudden appearance of such a large sum of money originating overseas into an essentially dormant bank account should have rung alarm bells. The bank has heavy anti-money laundering and anti-terrorism obligations, to say nothing of its general responsibility to protect banking customers. All of these controls failed.

“NatWest is a systemically-important UK bank with millions of customers. If it doesn’t have adequate safeguards to protect people against this kind of confidence scam, that is concerning for everybody.”

The legal action has been filed by Tecnimont Arabia Limited, a subsidiary of Maire Tecnimont SpA, which is represented by Robert Wynn Jones and John Sendama of Mishcon de Reya LLP. The claim number is LM-2020-000077.

Contact information

Enquiries
Palatine Communications
Conal Walsh
Conal.walsh@palatine-media.com

Amy Murphy
Amy.murphy@palatine-media.com

About Business Wire

Business Wire
Business Wire



Subscribe to releases from Business Wire

Subscribe to all the latest releases from Business Wire by registering your e-mail address below. You can unsubscribe at any time.

Latest releases from Business Wire

IFF Opens New Dubai Taste Creative Center22.10.2020 22:15:00 CESTPress release

Regulatory News: IFF (NYSE:IFF) (Euronext Paris: IFF) (TASE: IFF), a leading innovator of taste, scent, and nutrition & ingredients, today announced the opening of a new creation, application and innovation center for its Taste division in Dubai, UAE to better serve its customers’ unique needs and drive growth in the African, Middle Eastern, Turkish and Indian markets. “The new facility is a testament to our commitment to investing in the region and to support the specific innovation needs of our customers, leveraging dedicated leadership and cross-functional regional resources,” said Kathy Fortmann, Divisional CEO, Taste. “It will support our ongoing strategy to expand our geographic and customer reach, while accelerating growth in fast-growing emerging markets.” The state-of-the-art 1400m2 creative facility, centrally located in Dubai Science Park, will service companies in key regional markets by offering innovative flavors, savory solutions, juice-based compounds, inclusions, color

Saudi Arabia and International Telecommunication Union Announce MoU to Support AI for Sustainable Development Efforts22.10.2020 21:11:00 CESTPress release

Saudi Arabia, represented by the Saudi Data and AI Authority (SDAIA), and the International Telecommunication Union (ITU) today announced a memorandum of understanding (MoU) to collaborate on initiatives aimed at supporting and strengthening efforts to optimize the benefits of AI technologies and applications for sustainable development. Under the partnership, Saudi Arabia will support ITU in developing projects, activities and initiatives that will, among other things, aim to facilitate greater multi-stakeholder participation, international cooperation, and knowledge sharing to accelerate progress towards the UN Sustainable Development Goals (SDGs). This could potentially include developing initiatives such as an “AI Readiness Landscape Framework” that would explore and highlight country responses, progress and best practices related to AI policy frameworks. The MoU was announced by HE Dr. Abdullah Bin Sharaf Alghamdi, President of SDAIA, and HE Houlin Zhao, Secretary-General of ITU,

Aerogen Collaborates on Development of More Than 15 Potential COVID-19 Inhaled Therapies22.10.2020 19:57:00 CESTPress release

Aerogen, the global leader in aerosol drug delivery, today announced details of a broad collaborative effort to support pharmaceutical companies from around the world as they work to develop COVID-19 vaccines and treatments. To date, more than ten million patients globally have been treated safely and effectively with Aerogen’s drug delivery technology 1,5–7. As the global scientific community rallies against the pandemic, there has been unprecedented interest in inhaled delivery of antiviral drugs, leading to Aerogen’s involvement in multiple COVID-19 drug development initiatives with leading pharmaceutical companies and prominent academic groups. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20201022006039/en/ Aerogen Ultra (Photo: Business Wire) Aerogen’s closed-circuit nebulizer technology, which addresses key concerns around safety and improves patient outcomes5–8, is being used in hospitals across the globe to deliver a

Five Highlights at the 26 th Yiwu Fair to Attract 50,000 Global Merchants22.10.2020 16:25:00 CESTPress release

The 26th China Yiwu International Commodities (Standards) Fair ("Yiwu Fair") was opened on October 21 at Yiwu International Expo Center. The event, which will last till October 25, is expected to attract over 50,000 businessmen worldwide with these five highlights that can’t be missed. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20201022005798/en/ Highlight 1: Encouraging online and offline trade Due to the COVID-19 pandemic, exporters are facing great challenges this year. Therefore, Yiwu Fair 2020 invited more foreign business organizations and their representative offices in China. Around 10 delegations with 1,600 foreign businessmen in China are expected to attend. And online trade matchmaking meetings targeting Malaysia, the United Kingdom, Chile, etc. will allow exhibitors to connect with oversea traders online while meeting on-site foreign traders. Meanwhile, matchmaking meetings will also be held to help exhibitors

Hilton Effect Foundation Reveals 2020 Grants and Achieves $1 Million in Global COVID-19 Community Response Efforts22.10.2020 16:00:00 CESTPress release

The Hilton Effect Foundation announced today its 2020 Hilton Effect grantees, which include community-based organizations playing a direct role in COVID-19 pandemic recovery efforts. Through these grants and donations already made by the Foundation, which serves as Hilton’s primary philanthropic arm, the Foundation has now awarded more than $1 million dollars in COVID-19 community response efforts. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20201022005724/en/ Hilton Effect Foundation reveals 2020 grants and achieves $1 million in global COVID-19 community response efforts. (Graphic: Hilton Effect Foundation) “A core part of the Hilton Effect Foundation’s work is to support our communities around the world through both good times and bad,” said Kate Mikesell, president, Hilton Effect Foundation. “From the very start of the pandemic, we have been listening to community leaders about the direct and indirect challenges they ar

Smiths Detection Inc. receives a $90.8M IDIQ contract to manufacture Joint Chemical Agent Detector Adapter for US Department of Defense22.10.2020 16:00:00 CESTPress release

Smiths Detection Inc. (SDI), a global leader in threat detection and security screening technologies, announced it will initiate manufacturing of the Solid Liquid Adapter (SLA) following an indefinite delivery/indefinite quantity (IDIQ) award, worth potentially $90.8M over a maximum nine (9) year ordering period, with the US Department of Defense (DoD). The SLA adds new and expanded detection and identification capabilities to Joint Chemical Agent Detectors (JCAD), one of the DoD’s largest chemical detection programs in history. JCAD fitted with an SLA (JCAD SLA) gives the SLA operator the ability to both test for illicit drugs, including opioids such as fentanyl, and detect explosive compounds – without compromising the conventional chemical warfare agent detection capability of the JCAD. Speaking about the newly developed technology, Smiths Detection Inc. President, Shan Hood, said, “The SLA leverages existing technology, extending both capabilities and the life-cycle of widely deplo

In our pressroom you can read all our latest releases, find our press contacts, images, documents and other relevant information about us.

Visit our pressroom