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UK fraud watchdog recovers 11 mln stg from Macmillan

by Reuters
Friday, 22 July 2011 17:23 GMT

 (Adds detail) 

   LONDON, July 22 (Reuters) - Britain's Serious Fraud Office said it recovered over 11 million pounds from privately held UK firm Macmillan Publishers in relation to payments made by its education business in East and West Africa. 

    The UK fraud watchdog said on Friday that under a High Court Order Macmillan is required to pay 11.3 million pounds ($18.4 million) to reflect sums it received that were generated through unlawful conduct. 

   "It has been established that these issues were confined to a limited part of our education business in East and West Africa," said Macmillan's chief executive Annette Thomas in a statement. 

   "The company deeply regrets what has passed, but has learned from the experience."   

   A new Bribery Act became law in the UK on July 1 and covers overseas operations of firms doing business in the UK. 

  Officials say the law will bring Britain into line with other developed countries, end any suggestion the UK ignores such issues, and help stop the corruption that campaigners say keeps some poor states from developing.

   The SFO started an investigation into Macmillan's education business in Africa in March 2010 after a World Bank report expressed concern over payments made by Macmillan Education in an unsuccessful bid to secure a World Bank-funded contract to supply educational material in Southern Sudan.  ($1 = 0.613 British Pounds) 

 (Reporting by Sarah Young; Editing by Julie Crust) 

Our Standards: The Thomson Reuters Trust Principles.

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