July saw the publication of our Annual Report and Accounts, as promised in my last blog. I appreciate that these are rather formal documents, but they do show how we performed last year, how we spent licence fees and where we are on the proposals for changing the regulatory regime.
During the month, a lot of my time has again been focused on seeking the views of our various stakeholders on the future of regulation.
At the end of June, I attended The Security Institute’s Annual Conference which provided me with another opportunity to speak about our proposals and take questions.
Our minister, Lynne Featherstone, also spoke about the Government’s commitment to continued regulation of the private security industry and how the planned changes are likely to be taken forward.
By background I’m an accountant, and I attended my institute’s Annual Conference in Birmingham. Held in the International Convention Centre, the event focused very much on the current economic environment. There was a presentation on the Japanese experience, as well as a speech by Government minister Eric Pickles and a presentation by the chairman of the Public Accounts Committee, Margaret Hodge.
The conference also allowed me to see some of our licence holders at work and to chat with them about the issues they face at work, as well as the future of regulation.
I also gained a valuable insight into the work of Security Industry Authority licence holders while making my annual visit to the Latitude Festival in Suffolk.
Despite the very wet weather, the event was made safe for all those attending, largely through the professional efforts of security operatives. I was impressed by the varied and challenging roles that were undertaken: these ranged from crowd management and queue control to providing security at the wide variety of bars on offer.
All of the staff I encountered were polite, helpful and effective in pretty miserable conditions and when faced with a number of often challenging customers. Nevertheless, I was glad to escape the campsite and return to the relative civilisation of the office.
The CEO’s June update
This is what Bill Butler had to say in the June blog…
Work on our plans for the future of regulation (our ‘Blueprint for Change’) continues in earnest and, since the minister’s request in March, we have been working with the industry and other stakeholders to put together more detailed proposals.
The discussions from these meetings have helped to shape our suggestions for the new regulatory regime paper in support of the Government’s intention for the private security industry.
Our chairman Baroness Ruth Henig presented our suggestions to a meeting of the Strategic Consultation Group, which took place on Tuesday 21 June. Initial responses from this group and other industry groups I have so far spoken to seem to be positive.
We are now beginning to get into how a new regime may work and I expect that, as we continue to work with the industry and discuss the future regime, the debate will become more focused and more robust.
The directors and I will be taking all opportunities to talk to our stakeholders to explain and discuss the proposals. I want to hear what people think the new regime should be like, and now is the time for those in the industry and beyond to make any suggestions.
I have attended and spoken at a number of events within the industry and I have met with officials at the Home Office and in Scotland and Northern Ireland. I recently attended the Door Supervisor and Small Business Network meetings, and spoke at a Skills for Security seminar.
Following my attendance at the Derby Doorwatch meeting, I shall be going to the July meeting of the Nottingham Doorwatch. I enjoy these events: they provide a forum where front line operatives can ask me any questions they may have, and they are a good opportunity for me to meet security operatives in their own areas.
Once again I look forward to a lively debate.
Finally, we expect our Annual Report and Accounts to be published around 11 July. The report sets out our performance over the last financial year and how the licence fee has been spent.
Bill Butler is chief executive of the Security Industry Authority
Bradford criminal ordered to pay back ill-gotten gains
On 8 July at Bradford Crown Court, His Honour Judge Benson determined that Johnny Daniels, who was convicted of money laundering offences in September 2010, had benefited by GB pound 1,038,540.33 from the proceeds of his crimes and made a confiscation order against him to the sum of GB pound 479,146.74.
Daniels will be required to pay back this sum within six months or face a further term of imprisonment of three and a half years if he defaults.
37-year-old Daniels (of Cutler Heights Lane, Bradford) pleaded guilty at Bradford Crown Court on 6 September 2010 to one offence of deploying an unlicensed security operative, plus one offence of converting criminal property and four counts of being concerned in money laundering. He received a 12 and six-month concurrent sentence which he is currently serving.
The North East Regional Asset Recovery Team (RART) worked in partnership with staff from the Security Industry Authority in their investigation, and identified that Daniels was operating as J. D. Security or J. D. & Sons without a licence.
Licences are granted by the Security Industry Authority only to those who have received the relevant training and successfully completed the necessary vetting – which includes a criminal records check – to ensure that they’re fit to hold a licence.
Not only was Daniels aware that he needed a licence to run his business, but enquiries revealed that he had been paid in excess of GB pound 260,000 by numerous construction companies across Bradford for providing them with security officers between March 2006 and August 2007.
Speaking of the case, His Honour Judge Benson acknowledged that it had been a complex one and thanked the RART financial investigator personally for conducting such a thorough investigation.
Head of the RART, detective chief inspector Lisa Atkinson said: “This case illustrates that we remain committed to using innovative ways to disrupt and dismantle criminal activity, and especially that which posses a threat to our communities.”
Atkinson continued: “In this case, working closely with the Security Industry Authority to tackle individuals engaged illegally in the ‘security’ industry really paid off as not only has Daniels been brought to justice but now his assets have been removed through confiscation proceedings.”
In conclusion, Atkinson told SMT Online: “This is an excellent example of what can be achieved though effective use of the Proceeds of Crime Act and working in partnership. We will continue working in this way to ensure that criminals do not profit from their ill-gotten gains.”
Proceeds of Crime Act 2002: primary legislation
The NE RART was set up in 2004 and covers the whole of the North East Region from South Yorkshire to the Scottish Borders. It consists of police officers, civilian investigators, HMRC staff, HMCS North East Regional Confiscation Unit and a CPS lawyer.
As well as confiscation investigations, the NE RART has a specialist money laundering investigation unit.
The primary legislation which they use is the Proceeds of Crime Act 2002 which was passed to strip people of assets gained from crime.
The Regulator’s director of compliance and enforcement, Dave Humphries, said: “Daniels showed a blatant disregard for the law, and was therefore targeted by the police and ourselves. The courts have recognised the seriousness of his offences in sentencing Daniels to prison, and by awarding this confiscation order. The case sends out a clear message to those thinking of working illegally in the private security industry – break the law and you will face severe consequences.”
Criminals are living off the proceeds of crime: why should they? Report your suspicions to Crimestoppers on 0800 555 111 or visit www.whyshouldthey.com
The Why Should They? Campaign was launched across Yorkshire and Humber in December 2009 and is the corporate brand for all POCA work undertaken in the region.