UK collection society PPL is under police investigation for suspected fraud after discovering suspicious activity on multiple member accounts. One staff member has been dismissed following an internal investigation conducted earlier this year, and The Metropolitan Police is now handling the criminal case.

According to industry sources speaking to Billboard, the suspected embezzlement scheme involved individuals posing as unregistered recording artists to fraudulently claim royalties. The scheme was uncovered when legitimate artists attempted to register as PPL members. The fraud is believed to have occurred over several years, potentially dating back to 2016, with fraudulent transactions estimated at £500,000 ($625,000).

PPL has declined to comment during the ongoing criminal investigation. The organization, which has operated for 90 years as the UK's second-largest collecting society, licenses recorded music for labels and artists to broadcasters, bars, nightclubs, stores, and offices.

The organization maintains over 110 neighboring rights agreements with international CMOs, including SoundExchange and AARC in the United States. Despite the investigation, PPL reported record revenues of £285 million ($356 million) last year, though their latest quarterly distribution showed a slight decline to £45.3 million ($57.5 million) compared to the previous year.

Related Articles

Previous Articles