Nigel Heath, a former solicitor from Olney near Milton Keynes, was sentenced today for conspiring with others to corruptly give to the Attorney General of the USA or other US government law enforcement officers, $500,000 to lift a freezing order over bank accounts containing investor money obtained through a Ponzi-Fraud.
Nigel Heath was due to stand trial on 23 September 2008 at Birmingham Crown Court, but instead entered a plea of guilty to an offence of conspiracy to commit corruption.
Background
Heath [d.o.b. 1.7.55] qualified as a solicitor in 1982. He was involved in the high-yield investment market, as a middleman putting together investors (usually high-worth, with large sums of money to invest) and apparent investment programmes which promised very high returns. He worked out of a solicitor's firm in Central London called Georgiou Nicholas, and also from his home in Olney near Milton Keynes. He was struck off by the Law Society in 2007 as a result of his dealings in this dubious market.
The Fraud
Heath conspired to bribe an official in the U.S. Justice Department and/or US Attorney General to cause millions of dollars to be un-frozen from bank accounts around the world following a freezing order sought by the US SEC. Heath "invested" approximately £3m of his own and his clients' money in the scheme run by Shinder Gangar, Alan White and a Terry Dowdell, an American who in the US operated high yield investment schemes.
Since Heath had so much money staked and thus frozen by the US authorities, he was desperate that payments of "interest" could be made to his clients in return for their "investment". He was enlisted by Gangar and White to provide part of the $500,000 bribe money. Heath agreed and provided $50,000 which was sent to the USA by a covert route, using a series of little-known banks. The money was intended to be a bribe, and was referred to as a bribe, by all of the participants, including Heath. In interview with the police, however, he claimed that this was a joke, and that he paid the money as a fighting fund to recover personal money that he had invested - not a bribe. This story was invented to cover up his real involvement.
Two co-conspirators, Shinder Singh Gangar and Alan White, were convicted of the same offence and also of fraud offences earlier this year ( press release dated 11 April 2008 is available for background).
HHJ Griffith -Jones said today, "The US Securities and Exchange Commission froze assets for the benefit of investors that were going to lose money. It is a serious matter to corrupt officials there to protect investors."
Notes for editors:
The Serious Fraud Office is a government department responsible for investigating and prosecuting serious and complex fraud. The SFO is headed by the Director (Richard Alderman) who exercises powers under the superintendence of the Attorney General. These powers are derived from the Criminal Justice Act (1987).
This investigation was conducted by the Serious Fraud Office with the assistance of Leicestershire Police. Counsel for the prosecution were James Curtis QC and Martin Pinfold.
Nigel Heath is also a professional Rally Driver and he has competed in the British and World Rally Championships.
