Yahoo Finance Serious Fraud Office drops four-year criminal probe into Chemring
The Serious Fraud Office has finally closed its criminal investigation into defence contractor Chemring after four and a half years.
The probe, which was opened in January 2018, related to potential bribery, corruption and money laundering involving intermediaries representing its UK subsidiary Chemring Technology Solutions Limited (CTSL) and its predecessor companies.
In a statement to the London Stock Exchange, the Hampshire-based company said: “Chemring has co-operated fully with the SFO throughout its investigation and is pleased that the matter is now closed,” adding: “Chemring remains committed to conducting its business in an ethical and responsible manner at all times.”
Chemring reported itself to the SFO when the investigation began. According to a statement issued then, the matter related to two “historic contracts”, one of which pre-dated Chemring’s ownership of CTSL. It also said then that the contracts were not of material significance to the group.
The company, which designs defence systems for aircraft such as decoys, flares, as well as detonators and grenades. disclosed in November 2018 that legal costs relating to the SFO investigation had already reached £13 million. In June, it reported underlying profit before tax of £33.1 million for the six months to to April 30, up 22 per cent.
