Intelysis was retained by the compliance division of a North American stock exchange to conduct international background due-diligence enquiries into a company and a number of the individuals behind it. Together the company and these individual were involved in a major transaction with a publicly listed natural resources company. The purpose of the review was to ascertain the background of the company and the individuals concerned.

The Intelysis investigation encompassed research and enquiries on three continents, and quickly identified a number of anomalies in the company’s background including concerns about the company’s real domicile as well as use of front companies in a well known offshore jurisdiction and addresses in several others to conceal ownership details. Following a detailed research exercise into the officers of the company it was discovered that one of them had been accused of involvement in violating U.N. Sanction agreements, and was of interest to the intelligence agencies of several countries. A number of other indications were also uncovered that related to involvement in the smuggling of arms and fuel supplies, and the supply of military equipment, and also raised issues regarding involvement with unsavoury regimes and dealing in “blood diamonds”.

With this information available to them, the exchange was able to make a more educated decision regarding the transaction, approval of which was delayed pending further enquiries.