The UK Crown Prosecution Service (CPS) has brought charges against Kenny Alexander, the ex-CEO of GVC Holdings, and ten other individuals. This follows a long probe into claims of bribery and fraud connected to the company’s Turkish operations from 2011 to 2018. GVC, which changed its name to Entain in 2020, owned Ladbrokes and other big gambling brands.
Kenny Alexander and Former GVC Officials Accused of Fraud and Bribery
Alexander, 56, is facing charges of conspiracy to defraud and conspiracy to bribe. The CPS has confirmed that the first court hearing will take place on October 6 at Westminster Magistrates’ Court. The former GVC chairman Lee Feldman and other past high-ranking executives have been hit with similar charges. These include the ex-chief financial officer Richard Cooper, the former trading director James Humberstone, and the e-Technologies Global director Scott Masterston.
The case also names other people, including Robert Hoskin, who used to be Entain’s chief governance officer. He is charged with perverting the course of justice in early 2024. The list of defendants goes on to include directors and finance people linked to outside suppliers, like Conexus, Inteliqo, and Ilixium, which handles payments. Some of these folks are in hot water for shady business deals, dodging income tax, and running companies when they were not supposed to because they were broke.
HMRC Calls GVC Bribery Case a “Complex, International” Probe
The probe, spearheaded by HM Revenue and Customs (HMRC) and the CPS, has received the label “complex and international” from officials. HMRC’s fraud investigation director Richard Las emphasized that the claims cover serious crimes such as fraud, bribery, tax evasion, and attempts to obstruct justice.
Entain does not face new charges. The company had struck a deferred prosecution deal in 2023, agreeing to shell out GBP 585 million ($788.3 million) in fines, plus GBP 30 million ($40.4 million) for charity and legal fees, to resolve corporate responsibility for its past Turkish operations. That deal did not protect individuals from legal action.
The issue stems from GVC’s ownership of a Turkish-facing subsidiary, Headlong Limited, which it sold in 2017. Back then, GVC said it was not involved in the Turkish market anymore, but later investigations showed possible wrongdoing by both company insiders and outside partners.
These criminal cases add to a rocky time for Entain. The company has dealt with shareholders asking questions, changes in leadership, and lawsuits from Alexander and Feldman. These two had earlier accused the company and its lawyers of sharing private information with investigators.If found guilty, the accused could face heavy punishments, including jail time up to 10 years and unlimited fines. The high-profile lawsuit is likely to grab attention from both the gambling sector and regulatory agencies across the globe as it progresses through the courts this fall.