Deferred prosecution deal approved after bribery prevention failures uncovered
The Serious Fraud Office (SFO) has secured a £10 million payment from Ultra Electronics Holdings Ltd after the company admitted failing to prevent bribery.
A judge approved a Deferred Prosecution Agreement (DPA) on 1 May 2026, requiring the company to pay the financial penalty along with £4.8 million in investigation costs. The agreement brings the SFO’s criminal investigation into the company to a conclusion.
Under the terms of the DPA, Ultra Electronics must also comply with strict conditions and demonstrate sustained improvements to its compliance systems. The company is required to submit annual reports to the SFO over the next three years to show the effectiveness of its anti-bribery measures.
The investigation began in 2018 after the company reported suspected corruption linked to its operations in Algeria. In 2024, the scope of the investigation was expanded to include all jurisdictions in which the company operated. The case relates to failures to prevent bribery connected to three public sector contracts pursued through agents.
One of these contracts, valued at up to £200 million, was awarded by the Omani Ministry of Transport and Communications. The other two contracts were sought in Algeria, including a project involving information technology and e-commerce systems at Houari Boumediene Airport in Algiers and another involving encryption technology for the Algerian Ministry of Post and Telecommunications.
The Algerian contracts were not ultimately secured but were expected to generate approximately £1.4 million in profit. The SFO said the company accepted responsibility for failing to prevent bribery in relation to these contracts.
Graham McNulty said the outcome reflects the regulator’s commitment to addressing corporate misconduct. He stated that bribery undermines trust in business and affects public services and infrastructure that depend on lawful conduct.
Under the Bribery Act 2010, companies can be held criminally liable if individuals acting on their behalf engage in bribery, unless adequate procedures are in place to prevent such conduct. The SFO noted that earlier negotiations with the company had been discontinued before resuming following changes to Ultra Electronics’ ownership, structure and leadership.
The company was previously part of the FTSE 250 Index until August 2022, when it was taken private. The SFO said it was satisfied that the company’s new leadership had engaged constructively in reaching the agreement. The DPA requires Ultra Electronics to complete payment of the penalty and costs within 30 days.