Entain sets aside £585m for potential Turkish bribery settlement            

Entain has set aside £585m as the FTSE 100 operator continues to engage with the Crown Prosecution Service (CPS) over historic failings in its former Turkey-facing business.

Entain and the CPS are locked in ongoing deferred prosecution agreement (DPA) negotiations regarding alleged offences under Section 7 of the Bribery Act 2010.

Section 7 relates to the failure of the relevant commercial organisation, in this case GVC as Entain was then known as, to have adequate procedures in place designed to prevent persons associated with it from undertaking bribery for the benefit of the commercial organisation.

Entain sold its Turkey-facing business in 2017, with the operator stressing the alleged offences occurred under previous management.

HMRC had launched an investigation into Entain’s historical Turkish operations, with Entain entering DPA negotiations with the CPS in May.

Entain said the DPA negotiations had progressed to a point whereby the operator feels it would be likely to agree a resolution into HMRC’s probe.

Entain said it had a “sufficient degree of confidence” to take a provision of £585m against a potential settlement, which would be paid over a four-year period.

The nine-figure sum has been calculated based on the fact Entain will receive “full credit for its extensive co-operation” with the investigation, both prior and post entering the DPA.

Entain said: “Since the investigation first commenced, the group has undertaken a comprehensive review of anti-bribery policies and procedures and has taken decisive action to significantly strengthen its wider compliance programme and related controls.

“The board looks forward to pursuing an orderly conclusion to this matter and drawing a line under these legacy issues involving former third-party suppliers and former employees of the group.”

The London-listed firm expects judicial approval will be sought during Q4.