Operation Eider

Operation Eider concludes Trial 1.

Partner Gerry McDonald was instructed by the second defendant and two others in what is the largest HMRC Construction Industry Scheme (CIS) Fraud, prosecuted by the Serious Economic, Organised Crime and International Directorate (SEOCID), to date.  The conspiracies spanned internationally, including the UAE.

Post the client’s arrest in 2021, 40 other companies and individuals were charged. HMRC commissioned a consultation: Tackling Construction Industry Scheme Abuse, to seek to eradicate loopholes in the CIS scheme. The Fraud was carried out between January 2017 and March 2022 and the estimated loss to the revenue in this period was circa £40 million. The case had been spilt into 5 trials with this being the lead trial.

As a result of the above, In April 2024 the Construction Industry Scheme legislation and rules were changed to provide HMRC with further powers regarding deductions, clarification of rules and supply chain measures. 

Challenging continuity of digital evidence, instruction of a series of experts, challenging disclosure and substantive legal argument enabled the defence team to secure the best outcome for the client.

EBR Attridge we assisted by Andrew Bird KC and John McNamarra of #5SAH