CPS News Brief

Former Finance Director of major supplier of potatoes to Sainsbury's convicted of corruption

Andrew Behagg, former Greenvale Finance Director, was today (May 16) found guilty of corruption at Croydon Crown Court.

Sue Patten, Head of the CPS Central Fraud Group said:

“This was corruption on a massive scale. The prosecution’s case was that as a result of this corruption, Greenvale was able to keep lucrative business for the supply of potatoes to Sainsbury’s, valued at £40 million per year, at the same time as overcharging them.

“Potato buyer John Maylam was showered with excessive gifts and hospitality including stays at Claridges, costing a total of £200,000 and a luxury 12 day excursion to the Monaco Grand Prix in 2007, at a cost to Greenvale of around £350,000. Maylam also received lump sum payments, via an account in Luxembourg, to the tune of £1.5 million, supposedly for the storage of potatoes in Spain and other bogus activities

“In return for these criminal payments, Greenvale employees David Baxter and Andrew Behagg were able to collude with Maylam in overcharging Sainsbury to the tune of £8.7million.

“Today’s message is clear: there is no place for corruption in British business. It attacks fair competitive practices and undermines our international reputation. This case demonstrates a clear distinction between reasonable business hospitality and that which is criminally corrupt.”

Background Information:

David Baxter was the accounts manager at Greenvale and pleaded guilty to corruption and money laundering on 24 June 2011.

John Maylam, the Sainsbury’s potato buyer, pleaded guilty to corruption and money laundering on 2 September 2011.

Greenvale supplied approximately 45% of Sainsbury’s potatoes in 2008 at a cost in the region of £40 million per year.

Greenvale, on discovering the corrupt practice, reported the matter which has led to this conviction.

All three expected to be sentenced on 22 June.

Charging announcement in relation to Rebekah Brooks and others

Alison Levitt, QC, Principal Legal Advisor to the Director of Public Prosecutions oversees CPS decision making, and all potential prosecutions, in relation to the ongoing phone hacking investigations and other related matters. Miss Levitt said:

“This statement is made in the interests of transparency and accountability to explain the decisions reached in respect of allegations that Rebekah Brooks conspired with her husband, Charles Brooks and others to pervert the course of justice.

The Crown Prosecution Service received a file of evidence from the Metropolitan Police Service on 27th March 2012 in relation to seven suspects:

Rebekah Brooks;

Charles Brooks;

Cheryl Carter - Mrs Brooks’ personal assistant;

Mark Hanna - Head of Security at News International;

Paul Edwards - Mrs Brooks’ chauffeur who was employed by News International;

Daryl Jorsling and a seventh suspect - both of whom provided security for Mrs Brooks supplied by News International.

All the evidence has now carefully been considered.

Applying the two-stage test in the Code for Crown Prosecutors I have concluded that in relation to all suspects except the seventh, there is sufficient evidence for there to be a realistic prospect of conviction. I then considered the second stage of the test, and I have concluded that a prosecution is required in the public interest in relation to each of the other six.

All seven suspects have this morning been informed of my decisions. They are all due to answer their bail at police stations later today. When they do so, they will be charged as follows:

CHARGE 1 – CONSPIRACY TO PERVERT THE COURSE OF JUSTICE

Rebekah Brooks between 6th July and 19th July 2011 conspired with Charles Brooks, Cheryl Carter, Mark Hanna, Paul Edwards, Daryl Jorsling and persons unknown to conceal material from officers of the Metropolitan Police Service

CHARGE 2 - CONSPIRACY TO PERVERT THE COURSE OF JUSTICE

Rebekah Brooks and Cheryl Carter between 6th July and 9th July 2011 conspired together permanently to remove seven boxes of material from the archive of News International.

CHARGE 3 – CONSPIRACY TO PERVERT THE COURSE OF JUSTICE

Rebekah Brooks, Charles Brooks, Mark Hanna, Paul Edwards and Daryl Jorsling conspired together and with persons unknown, between 15th July and 19th July 2011, to conceal documents, computers and other electronic equipment from officers of the Metropolitan Police Service.

All these matters relate to the ongoing police investigation into allegations of phone hacking and corruption of public officials in relation to the News of the World and The Sun newspapers.

Following charge, these individuals will appear before Westminster Magistrates Court on a date to be determined.

No further action will be taken against the seventh suspect.

May I remind all concerned that these six individuals now will be charged with criminal offences and that each has a right to a fair trial. It is very important that nothing is said, or reported, which could prejudice that trial. For these reasons it would be inappropriate for me to comment further."