Guernsey's top police officer, Ruari Hardy, has apologised after it took almost two years to investigate, what turned out to be, false allegations against a manager at the island's financial regulator.
This was despite authorities and external agencies warning the police, the claims about Simon Gaudion, of the Guernsey Financial Services Commission, were unfounded.
The origin of the case comes from the GFSC's decision in 2015 to sanction the directors at a finance company in the island.
They found that Confiance had significant failings in its anti-money laundering and counter terrorist financing systems.
That led to the company's director being fined £50,000 which was retaliated with claims of fraud against Mr Gaudian at the GFSC.
However Guernsey Police have now finally said that the claims against Mr Gaudian were 'baseless.'
In March 2018, Mr Gaudion lodged a formal complaint to the Home Affairs committee saying that the investigation had taken too long and 'was based on malicious intent.'
William Mason, the Director General of the GFSC has welcomed the apology and the acknowledgement of the “baseless accusation of fraud” against Mr Gaudion
Mr Hardy has confirmed that the investigation has impacted the relationship between the GFSC and Law Enforcement and they are working on a variety of ways to improve trust and confidence between both organisations.