During the first Iraq/Iran war, various ship owners were contracted to send VLCC’s (Very Large Crude Carriers) to Kharg Island to pick up Iraqi crude oil and to export it through the Arabian Sea and out through Straits of Hormuz. The area was classified by Lloyd’s Underwriters as a “war zone” and as such insurance was either impossible to buy or very expensive. One of the Lloyd’s syndicates underwrote the world’s biggest VLCC fleet and insured it under a War Cover. ISSL were contracted to advise on the risk management and to maintain a presence on board the tankers whilst they were in the war zone.

Two members of ISSL staff were placed on each tanker in order to train and manage a multi-national crew - the ships had a Greek Captain, Indian Officers, a Bangladesh or Philippine crew. ISSL’s staff were appointed Supernumerary Officers; one to be based on the bridge to advise the Captain on defence and the other to control the fire procedures on deck and provide medical back-up.

Each ship had a security survey by an ISSL Associate, who was a qualified marine surveyor to ensure the tankers were in good mechanical condition and they met with Class regulations before they made the journey. Tankers have only one main engine, from which all the regular fire suppression systems are run. ISSL put temporary fire equipment and monitors on board to ensure that if the ship was hit, it had back-up fire suppression equipment.

A financial institution selling wealth products through both Tied Agents and Individual Financial Advisors (IFA’s) wanted to renew their annual Financial Institutions insurance. The Underwriter’s were concerned that they may become exposed as a result of a potential lack of controls and breach of procedures set by government authorities. The Underwriter instructed ISSL to conduct a Risk Analysis survey, where the main objective is to report on the institutions compliance, management, processes and the checks and balances that are in place. It is also important to check that the procedures are being adhered to in a rigorous manner.

The survey ensured that the institution received the cover it required and gave the Underwriter reassurance by providing a detailed understanding of the risk and that the implementation of ISSL’s recommendations would negate the chance of a claim.

The Central Asian Government investigation was the start of an on-going project to keep track of a group of individuals involved in what became a series of fraudulent activity. This information has resulted in ISSL having a large rolling database of commercial intelligence about the many other frauds this group has perpetrated, together with all their key associates and connections. This valuable information has been accessed by institutions that fear substantial financial loss and reputational damage as a result of being targeted by this group. If required, ISSL also keep these institutions up to date with any new information, if and when it comes to light. This information flow is maintained by way of an annual retainer.

A South East Asian electronics company approached ISSL through one of its UK subsidiaries to help it defend itself against a charge that it had been flouting UN imposed sanctions. Our client was adamant that they had no contract to import goods in breach of UN sanctions and we were instructed to investigate how this charge had been bought to bear. It was discovered that the company’s equipment was somehow being fraudulently imported into the former Yugoslavia and as such was in breach of UN embargoes. ISSL therefore spent some time in the area, set up a dummy company and arranged to buy from the company’s “suppliers” in-country equipment, including telephone exchanges, telephones and faxes. These purchases were from local suppliers who were known to be connected to organised crime. Having bought the equipment, ISSL then exported it out of the country. Our client was unable to identify where it came from. At that stage, none of their equipment had part numbers that allowed them to identify which factory the equipment had been made in, which batch was being sent where or to whom.

ISSL therefore had to take the investigation further. We completed an audit trail of the equipment by working backwards from the Balkans to an official company source, enabling us to prove that the equipment that was breaching the UN embargo was in fact coming from the grey market.

It was equipment being made for the American market that had been illegally exported by one of the company’s regional distributors in the US to the former Yugoslavia.

Our client was then able to explain to the UN that the breach of the embargo had not been as a result of actions by Head Office and so the charge was dropped. The company instigated a modification of its equipment, which in the future allowed them to identify where the electronic goods were made, who it had originally been sold to and its ultimate destination.

A telecommunications company operating within CARICOM suffered a large loss through two fraudulent wire transfers. ISSL were asked to investigate the crime and to see if it could ascertain internal collusion, which is one of the requirements that would enable the company to claim on its Commercial Crime insurance. ISSL were also tasked to recover the stolen funds.

ISSL investigated the fraud and verified that there had indeed been internal collusion. We are currently tracing the stolen funds, which if found will be payable to the insurance company, if they settle the claim.

Due to the high increase in piracy in the area of Djibouti, the Horn of Africa and Socotra, ISSL were requested to give advice to ensure that a super yacht and crew could transit safely between the Indian Ocean and the Suez Canal so it could be repositioned for the summer season in the Mediterranean.

The yacht had insufficient fuel capacity to do the transit without bunkers, if the engines and not sails were used for the duration of the transit through the high risk area. ISSL, with the Master produced a route plan to use sail and motor at different times and, in a very low key manner, upgraded the security of the yacht. At the same time ISSL placed two trained personnel as supernumerary crew for the transit. During the transit there was an incident off Socotra, where pirates masking themselves as fishing boats, tried to board the yacht. They were repulsed and the yacht and crew continued safely to the Mediterranean.