Capital UK Services Ltd directors ordered to pay over £200,000 under Proceeds of Crime Act

On 27 May 2016, Capital UK Services Ltd and its directors Judith Wanyoike and Stephen Mungai were sentenced at Nottingham Magistrates Court for supplying unlicensed security officers.

The court heard that Capital UK Services Ltd provided eleven security operatives who were unlicensed across two large contracts. The first was between August 2013 and February 2014 when operatives were deployed on the contract to build the Nottingham City Tramway, a security contract worth about £2.2 million. The second instance was between October 2013 and March 2014 on a contract with a nationwide refurbishment company.

At a hearing in July 2015, Mungai pleaded guilty to supplying unlicensed security officers. This is a Section 5 offence under the Private Security Industry Act 2001. As a director, he was also found guilty of consent or neglect for employing unlicensed officers, which represents a Section 23 offence under the Act. Mungai received a community service order of 250 unpaid hours work concurrent for both offences and was ordered to pay £12,000 in costs.

For her part, Wanyoike also pleaded guilty in July 2015 to supplying unlicensed security operatives. This is a Section 5 offence. As a director of Capital UK Services Ltd, she was also guilty of a Section 23 offence under the Private Security Industry Act 2001. Wanyoike was also charged with a Section 19 offence for failing to supply information relating to an investigation and for providing false information. This is a Section 22 offence under the Private Security Industry Act 2001.

Wanyoike received a community service order of 100 unpaid hours work. She was ordered to pay £6,000 in costs and disqualified as a company director for five years.

The company, which is now insolvent, received a nominal fine of £1.00.

Proceeds of Crime Act

The case was transferred to Nottingham Crown Court for sentence and proceedings under the Proceeds of Crime Act. A confiscation order was made for £206,370 against both parties. The presiding Judge stated that the Proceeds of Crime Act confiscation reflected the role each director played in the company.

Consequently, Mungai was ordered to pay £172,370 and Wanyoike £34,000. Both individuals have been given three months to pay the figure in full. The Judge also ordered that if Mungai and Wanyoike failed to pay the full amount, Mungai would receive a default prison sentence of two years and Wanyoike nine months.

Commenting on the case, the Security Industry Authority’s investigations officer Michael Bryan stated: “We’re pleased with the sentencing and Proceeds of Crime Act ruling. This strong conviction and Proceeds of Crime Act confiscation order highlights that security industry regulation exists to protect members of the general public and businesses who use contracted security services. Regulation also ensures the effectiveness of security businesses that operate within the industry. We robustly regulate the private security industry and will seek to prosecute those who choose to ignore the legislation that’s in place.”

About the Author
Brian Sims BA (Hons) Hon FSyI, Editor, Risk UK (Pro-Activ Publications) Beginning his career in professional journalism at The Builder Group in March 1992, Brian was appointed Editor of Security Management Today in November 2000 having spent eight years in engineering journalism across two titles: Building Services Journal and Light & Lighting. In 2005, Brian received the BSIA Chairman’s Award for Promoting The Security Industry and, a year later, the Skills for Security Special Award for an Outstanding Contribution to the Security Business Sector. In 2008, Brian was The Security Institute’s nomination for the Association of Security Consultants’ highly prestigious Imbert Prize and, in 2013, was a nominated finalist for the Institute's George van Schalkwyk Award. An Honorary Fellow of The Security Institute, Brian serves as a Judge for the BSIA’s Security Personnel of the Year Awards and the Securitas Good Customer Award. Between 2008 and 2014, Brian pioneered the use of digital media across the security sector, including webinars and Audio Shows. Brian’s actively involved in 50-plus security groups on LinkedIn and hosts the popular Risk UK Twitter site. Brian is a frequent speaker on the conference circuit. He has organised and chaired conference programmes for both IFSEC International and ASIS International and has been published in the national media. Brian was appointed Editor of Risk UK at Pro-Activ Publications in July 2014 and as Editor of The Paper (Pro-Activ Publications' dedicated business newspaper for security professionals) in September 2015. Brian was appointed Editor of Risk Xtra at Pro-Activ Publications in May 2018.

Related Posts