"We are not deterred by criminals who attempt to frustrate justice" - battle to recover assets from Jersey fraudster continues

A “vital step” in a battle to recover tens of millions of pounds from a Jersey fraudster has been taken by the enforcement agency that oversees financial crime cases in the UK.

The Serious Fraud Office announced this week that, following a two-day Commercial Court hearing, it has secured a receivership order variation in its ongoing asset recovery case against Gerald Smith.

This improves the SFO’s ability to enforce its nearly £90 million confiscation order against Smith, a former Jersey-based doctor who pleaded guilty to a £35 million fraud against IT company Izodia in 2006.

We will pursue every avenue to recover the proceeds of crime
Serious Fraud Office

He was sentenced to eight years in prison, later receiving a further 13 months for contempt of court.

The SFO’s subsequent confiscation order of £41m – the largest order made in criminal proceedings at the time – has since increased significantly due to the interest incurred and Smith’s “repeated refusal to follow court orders”.

It now stands at £87 million.

The SFO described the recent progress in Commercial Court as “a vital step”, noting that “valuable assets” could now be liquidated towards Smith’s outstanding confiscation order.

The enforcement agency stated that it was “not deterred by criminals who attempt to frustrate justice”.

“We will pursue every avenue to recover the proceeds of crime,” it added.