The UK Crown Prosecution Service (CPS) has brought charges against 11 individuals, including several former top executives of GVC Holdings, now known as Entain, over historic operations in Turkey between 2011 and 2018. The high-profile figures charged include Kenny Alexander, the company’s former chief executive, and Lee Feldman, its former chairman.

Former Executives Among 11 Charged

According to the CPS announcement on Thursday, August 28, Alexander, 56, of Perth, Scotland, and Feldman, 57, of East Hampton, New York, face charges of conspiracy to defraud and conspiracy to bribe during the years when GVC was actively providing gambling services in the Turkish market. Both are scheduled to appear at Westminster Magistrates’ Court in London on October 6.

Richard Cooper, the company’s former chief financial officer, and former legal director Robert Hoskin were also named, alongside James Humberstone, who held multiple roles at GVC during that period. Six others, not directly employed by the company, are also facing charges, bringing the total to 11 defendants.

Entain emphasized in a statement that it has not been charged, noting, “The company has not been charged and none of the individuals charged are currently employed by the company or its group.”

The charges stem from a lengthy investigation led by HM Revenue and Customs (HMRC) and the CPS, which scrutinized GVC’s Turkish-facing business activities before its divestiture in 2017. The investigation uncovered potential violations spanning bribery, conspiracy to defraud, fraudulent trading, cheating the public revenue, and tax evasion, alongside a charge of perverting the course of justice filed against Hoskin in February 2024.

“This has been a complex and international investigation,” said Richard Las, director of HMRC’s fraud investigation service. “These are serious charges that relate to conspiracy to defraud, bribery, cheating the public revenue, evasion of income tax and perverting the course of justice among others.”

Among those facing multiple charges are financial director Raymond Smart, payments provider Ilixium’s co-founder Richard Raubitschek-Smith, and his business partner, Alexander MacAngus. Additionally, Caroline Roe, who served as a director at several companies, faces charges of fraudulent trading and fraudulent evasion of income tax.

The offenses collectively span a period of significant expansion for GVC, which acquired Ladbrokes and Coral and grew into a major player in the global gambling industry.

Entain’s Deferred Prosecution Agreement

Entain has reiterated that it resolved its corporate liabilities in December 2023 through a deferred prosecution agreement (DPA) with the CPS. The agreement followed a multi-year probe by HMRC that expanded in 2020 to include potential corporate wrongdoing. As part of the DPA, the company agreed to a £585 million financial penalty, alongside a £20 million charitable donation and £10 million in costs to the CPS and HMRC.

In its statement, Entain confirmed compliance with the terms of the DPA and reiterated that none of the individuals now charged are part of the current management team. The company added, “The company has no further comment to make in respect of these matters, which are the subject of ongoing criminal proceedings and reporting restrictions.”

As Reuters reports, following the DPA announcement, Entain’s share price fell by 1.2% to 874.8 pence on the London Stock Exchange.

The investigation has drawn attention to GVC’s past operations in Turkey, where the company owned the subsidiary Headlong Limited from 2011 to 2017. Despite claims that ties were severed when the business was sold to Ropso Malta Limited in late 2017, authorities continued to pursue evidence of misconduct.

Legal analysts note that charges of conspiracy to defraud and conspiracy to bribe carry a maximum penalty of 10 years in prison and/or an unlimited fine, signaling significant legal risks for the individuals involved.

In recent months, Alexander and Feldman have also taken legal action against Entain and its law firm, Addleshaw Goddard, alleging that privileged information was improperly shared with investigators. In a March interview, Alexander stated he would not return to the gambling sector, ending a 24-year career in the industry.