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Judge criticises 'arrogant, boorish' benefit fraud model

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A model jailed after falsely claiming more than £50,000 in benefits now has four weeks to pay the money back.

Carina Reid, who lived in a flat in Chelsea's exclusive King's Road, was jailed for three years last May at Isleworth Crown Court after she claimed tens of thousands of pounds in housing and council tax. The 34-year-old, who also worked as a beautician, was caught out when investigators discovered her boasting about her extravagant lifestyle on Facebook.

Reid claimed benefits to help fund holidays to Hong Kong, Dubai, Spain, Portugal, France and Switzerland. She then took to Facebook to post photos of herself enjoying the trips and sipping champagne in Harrods and dining at top London establishments including Scotts, the Dorchester Hotel and the Berkeley Hotel. She told Chelsea and Kensington Council she had no savings, taken no holidays between 2009 and 2014 and accepted free food at a mosque.

Her defence counsel Sonya Saul, said 'every effort' had been made by her client to recuperate the money. Miss Saul told the judge: 'I have explained to her the need for this matter to be resolved.'

However Judge Douglas Marks-Moore dismissed the claims, labelling Reid 'arrogant' and 'extremely boorish'. The judge told the court: 'I am sorry, this is pie in the sky. She is very arrogant in my view when she comes into this court. She has had ample opportunity I am afraid to get this money. How long has this been going on for, over a year?'

Eight of the nine dishonesty charges related to Reid’s failure to declare savings of £180,000 in 19 separate bank accounts

He added: 'She knows very well where her things were and where the money was spent. There were photographs posted on her Facebook page of her enjoying the high life. In any event this was a significant amount of money that could have been used by social services.'

A profile of Reid on her beauty business website Enhance said she was a ‘senior medical aesthetician’ who had ‘worked with a wide range of clientele, from VIP film stars, TV and radio presenters as well as on magazine shoots and celebrity events.’

Her King’s Road flat was purchased with a deposit of £20,000, and she got a mortgage based on her true tax returns which showed that Enhance was a successful business. She had also sent £116,000 abroad in 2013-2014 to acquire property in Dubai, and her LinkedIn profile indicated her desire to expand her business to Dubai and Los Angeles.

Eight of the nine dishonesty charges related to Reid’s failure to declare savings of £180,000 in 19 separate bank accounts. She was convicted of nine charges of fraud by false representation.

The judge allowed Reid an extra four weeks to recuperate the monies she stole from the taxpayer before she is due for release later this year.

Judge Marks-Morre said she had been 'extremely boorish', adding: 'Yes, I know the words that I am using.' He told her: 'You don't listen to a word I have to say anyway. You have not got a hope in hell of getting an extension. You have been playing the system in my view.'

Reid will be back in court on June 30.

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Gutless sentence for attempted housing fraud

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Afshan Sultan, aged 35, from Yardley, Birmingham, pleaded guilty at Birmingham Magistrates Court on Thursday to two charges of providing false information on a housing application form and one charge of failing to inform the council of a change in her circumstances while her application was live. (h/t TenancyFraud)

She was given a community order for 180 hours unpaid work, and ordered to pay costs of £1,523.13 and a victim surcharge of £80.

When Sultan completed her initial housing application form she already owned a house which she was renting out.

She then bought another house for her extended family while her application was live and failed to disclose this too, the court was told.

Investigating officers found she was linked to other properties, stopped her application and prosecuted her.

Birmingham City Council’s director of housing, Robert James, said: “At a time when we have thousands of genuinely homeless families in Birmingham in dire need of a council house, Sultan decided to try and exploit the system despite owning two houses. Today’s sentencing sends out a clear message – we take tenancy fraud allegations seriously and we will prosecute.”

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Light sentence for housing benefit fraud

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A 55-year-old benefit cheat broke down in tears as a judge told her she wasn’t going to prison.

Shahnaz Malik told lies about the purchase of her home in Ainley Top, and the fraud which lasted six years led to her being paid more than £23,000 in housing benefit to which she was not entitled.

Bradford Crown Court heard claims that she had been handing over hundreds of pounds a week to the man she said had helped her to set up the scam, but a judge ordered to repay the whole sum or face jail.

Judge Jonathan Rose was told by a tearful Malik that she was taking steps to get a loan which would mean she could pay back £23,068.35. But the judge said he wanted confirmation of the loan by next month or he would treat it as a breach of the sentence and she would go to prison.

Judge Rose told Malik, who admitted making a false representation to obtain housing benefit, that he was suspending her eight-month jail term for two years, but she would be punished by having to do 150 hours unpaid work for the community.

Prosecutor David McGonigal said Malik purchased her home in April 2009, but then submitted a claim in which she said she was renting the house from a landlord.

“In order to substantiate that claim she provided a tenancy agreement and rent books,” said Mr McGonigal. “Eventually the authorities realised she did own the house and investigations were made and her claim was stopped in July 2015.”

Malik claimed that she had met a man at a wedding who had assisted her with the application, but Mr McGonigal said she was not able to provide any telephone number or details for him.

Passing sentence, Judge Rose said the case crossed the custody threshold, but after reading various documents and letters about Malik he had decided to suspend the jail term. “You have pleaded guilty to a serious offence that in plain terms is fraud,” the judge told Malik. “It is fraud on the public. It is money that is needed for those who cannot afford housing. It is not money for those who have bought their own home. Whatever the background, whoever you spoke to, you made a deliberate decision to defraud the public purse and you did it over a period of time.”

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Thief also committed benefit fraud

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A benefits cheat who fraudulently claimed more than £29,000 was caught following an undercover surveillance operation.

Swansea woman Menna Bowden claimed income support, tax credits and housing benefit on the basis she was a single mum. But Swansea Crown Court heard surveillance officers saw her partner “coming and going” at her property. Her partner had also applied for a parking permit at the address - but when interviewed, the defendant claimed he lived with his mother.

The court heard Bowden’s initial claims for benefits were legitimate, but that she failed to inform the authorities when her circumstances changed.

Between June 2014 and March 2016 she received £5,285 in income support, £8,003 in housing benefit, and £15,833 in tax credits she was not entitled to.

Bowden, aged 32, had previously pleaded guilty to three counts of benefit fraud, and appeared at Swansea Crown Court for sentencing.

The court heard in April this year Bowden had been given a suspended prison sentence after being found guilty of stealing from her employer.

Andrew Evans, for Bowden, said the motivation for the commission of the benefit offence was the same as the theft - the financial difficulties she was experiencing. He added that his client had been complying “enthusiastically” with the court order that had accompanied last month’s suspended sentence.

Recorder Timothy Petts told Bowden that by failing to notify the authorities of changes in her circumstances she had received almost £30,000 that she was not entitled to. He said: “I am sure everyone in the community would like an extra money to get along in life - we all have financial pressures. Benefits are there for people in need, they are not free money.”

Bowden was sentenced to eight months in prison suspended for 18 months, and was ordered to complete a rehabilitation course.

The previously imposed suspended sentence was allowed to continue.

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"Single" parent in £30k benefit fraud

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A cheating mum was exposed for swindling almost £30,000 in benefits when her secret lover applied for a parking permit at her home.

Single parent Menna Bowden, 32, insisted her partner lived with his mother elsewhere.

But she was unmasked as a liar when investigators spotted him “coming and going” at her home during overnight stays in Swansea, Wales.

Swansea Crown court heard between June 2014 and March 2016 Bowen received £5,285 in income support, £8,003 in housing benefit, and £15,833 in tax credits she was not entitled to.

Recorder Timothy Petts said: “I am sure everyone in the community would like extra money to get along in life – we all have financial pressures. Benefits are there for people in need, they are not free money.”

Bowden pleaded guilty to three counts of benefit fraud.

She was sentenced to eight months in prison suspended for 18 months, and was ordered to complete a rehabilitation course.

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West Norfolk targets housing benefit fraud

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West Norfolk council has now employed a new member of staff has been recruited to specifically investigate erroneous and fraudulent Housing Benefit claims.

The Department for Work and Pensions estimates fraud overpayments to make up 4.6pc of councils’ housing benefit expenditure for 2016/17.

The total Housing Benefit expenditure for West Norfolk for last year was just over £39m, so if the level of fraud was 4.6pc this would equate to a loss of approximately £1.8m.

Now extra funding has been made available by the Department of Work and Pensions, to enable local authorities to take on extra staff to review claims for fraud and error and to put these right.

The work will focus on checking earnings details against those held on HMRC database.

West Norfolk council leader Brian Long said:
Housing Benefit fraud is a big issue across the country, which is why funding has been made available to us to tackle it. I am sure that for most people it is a genuine mistake and they have simply forgotten to notify us of a change in their circumstances, rather than a serious attempt to commit fraud. However, if that means they are claiming money they are not entitled to, then we need to ensure those errors are corrected and that the money is paid back.

Claimants whose earnings details do not match will be contacted and given an opportunity to put the matter right. If they do not, then further action may be taken. People can notify us easily about any changes in their circumstances by going online at west-norfolk.gov.uk and completing the online form under benefits change of circumstances.
The new member of staff is on a 12 month temporary contract funded by the Department of Work and Pensions with the sole purpose of checking earnings details against HMRC records.

According to the Citizens Advice Bureau, benefit fraud is a criminal offence and is treated differently to benefit overpayments. One example is deliberately failing to tell the benefit office about your true financial circumstances when you claimed the benefit.

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Team tackles hosing frauds in Southwark

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The number of council housing fraud cases passing through Southwark Council has fallen dramatically since 2014, a report has shown. (h/t tenancyfraud)

A “special investigation” team within Southwark Council’s Housing and Modernisation Department detected 509 suspect housing-tenancy cases between April 2016 and March 2017, compared with 1,751 in 2014-15.

Investigations in 2016-17 resulted in 89 council homes being seized. 173 applicants were taken off the council’s housing waiting list, while 106 applicants were classed as “bona fide”.

The work carried out by Southwark’s two verification officers, within anti-fraud services, also saw 22 right-to-buy applications stopped or cancelled.

So they were cost effective on this measure alone.

The council received 1,005 referrals from members of public via its website, by email, and its fraud hotline in 2016-17. This contributed to 77 “successful sanctions” among the 509 suspect cases that were detected.

Councillor Stephanie Cryan, Southwark Council’s cabinet member for housing, said:
The council has an obligation to ensure all applicants on our housing waiting list are genuinely in need and don’t have other properties, mortgages or undeclared changes to their circumstances, for example.

The council has focused on key areas which will prevent, reduce and detect fraud in order to safeguard and recover public assets – taking the matter to court where necessary.

A great deal of work has gone into improving the way the council verifies identities, cross references information and raises awareness of fraud to members of staff and the public.

Right to Buy applicants are reminded of the gravity of fraud and money laundering. These factors, combined with the push for prosecution for housing fraud, have attributed to a reduction in fraud in all areas.
The investigators’ scope was to look at unlawful subletting, non-occupation of council homes, succession, assignment, mutual exchange of homes between tenants, and right-to-buy.

Southwark has carried out annual fraud investigations of its housing department since 2014, after new government legislation.

The most prolific case to emerge from Southwark’s investigations came last year, when one of its former housing officers was handed a five year jail sentence for handling 24 bogus cases between 2003 and 2005. Five of the officer’s clients were also successfully convicted for offences such as illegal subletting of their council homes, and making applications using fraudulent birth certificates for children they didn’t.

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Could ID cards address rising benefit fraud?

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According to the latest figures from the Department for Work and Pensions (DWP), benefit fraud is costing the UK £2.0bn a year. From scammers posing as deceased relatives through to ex-pats failing to mention they live in Alicante, it’s seemingly only getting worse. (h/t Dave)

The welfare system hasn’t exactly made life easy for itself. An entangled network of needs-based benefits, coupled with antiquated methods of ID verification, has made it easy to exploit. But due to a wave of new technologies, this tired old framework is finally set to change. Quite how far will depend on the decisions we make collectively.

Reducing fraud at the point of application

Until recently, it’s been notoriously difficult to check someone’s circumstances across different public sector departments. This lack of cooperation has led to millions being lost through fraudulent claims for Jobseeker’s Allowance - even by those working within the public sector itself. It’s also enabled thousands of people to receive a pension in the name of a deceased relative.

Part of the problem is being addressed with the introduction of Universal Credit (UC), which is a clear acknowledgement that the benefits system has become a labyrinth of complexity. Having one single application process for a range of awards removes the risks associated with conflicting information. The DWP is already saving money - in 2013/14, it recovered an extra £100 million of fraud and error-related debt compared to 2009/10.

As a further safeguard, the verification process for a UC claim now draws upon up-to-date earnings from HM Revenue and Customs (HMRC). The technology, understandably known as “Real Time Information” lets the DWP check an applicant’s current income. HMRC now insists that employers and pension providers provide these figures immediately after making a payment, rather than annually.

But the most notable new technology is the National Fraud Initiative’s (NFI) AppCheck tool. For the first time, any department can verify an individual’s circumstances with over 1,300 other organisations including the DWP, the Home Office, local councils, police authorities and private companies. In total, around a third of a billion records are trawled through. The chances of successfully claiming a benefit fraudulently are diminishing for each new data source that’s added.

Beyond this, the next step brings with it a whole new level of controversy. Last year, the DWP began a trial using blockchain, which involves claimants downloading a mobile app to receive and spend money. Every transaction is recorded on a ledger to help them improve their budgeting. Potentially, it could allow the DWP to specify where recipients spend their cash - although this has been denied by Conservative peer Lord Henley. Ministers are currently considering extending the trial, which was originally carried out by Disc (formally GovCoin).

Monitoring changes in circumstances

The National Benefit Fraud Hotline receives over 1’000 calls a day, but according to a freedom of information request to the DWP, 85% of reported cases turn out to be false. So it’s quite plausible that the cost of investigations could easily negate the overall savings.

But the Government’s reliance on anonymous tip-offs is set to be replaced by improved data matching. In addition to its Appcheck tool, the NFI also carries out frequent data comparisons across a myriad of sources. In 2016, it identified 172,907 fraudulent claims, resulting in savings of £198.2 million. Almost half of this was derived from simply comparing pension payments with the Disclosure of Death Registration Information from the General Registrar’s Office. Even though this doesn’t seem to be particularly groundbreaking, it’s actually highly significant given the public sector’s usual reticence for collaboration.

It’s only a matter of time until machine-learning algorithms can identify fraudulent activity with even more certainty. Exposing artificial intelligence to the NFI’s records will enable it to accurately spot discrepancies and even predict where fraud could occur.

Identification checks

The current ‘approved forms of ID’ have been around for decades. Even a new claim for UC only requires a driving license, passport or EEA national identity card. But reams of forged documents are in circulation and every year around 1,000 fake passports are seized at border points. A quick search for “how to create a fake driving license” lists almost two million results.

Manchester-based VST Enterprises has created a technology, known as the VCode system, which makes it decidedly harder to claim benefits in a false name. It’s currently being trialled in India and the US where users can authenticate themselves using a variety of secure personal data. Louis-James Davis, CEO, explains:

“Currently in India and the USA, benefit claimants are provided with a magnetic striped card loaded with funds that they can redeem at grocery outlets etc. That system has caused plenty of difficulties that VCode addresses. It’s been found to be more secure and effective in ensuring benefits go to genuine claimants than the magnetic strip system it’s replacing.”

In the UK, the technology could potentially be integrated into ID cards “as a multifunctional system, securely containing biometric and demographic data”, such as “ID photographs, fingerprints and iris scans.”

Moral dilemmas

As a society we need to think carefully about our next step. Do ID cards encroach on our civil liberties? Should we dictate where benefits are spent? How far are we prepared to move towards one centralised record which is accessible by private companies?

Technology is evolving to such an extent that benefit fraud could be eradicated within the next ten years. Perhaps the only potential stumbling block is our inbuilt resistance to change.

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Another fraudster undone by Facebook

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A mother who posed as a single mum was caught out in a a £30,000 benefit fraud after her Facebook page gave her away.

Mold Crown Court heard how Tara Littlehales, 28, a mother of two, claimed tax credits as a single mum.

However, her Facebook page showed that she and her partner were living as a couple with their two kids and a surveillance operation was launched by the Department of Work and Pensions.

The court when challenged she spun a complicated story about how the pair had a joint mortgage but they were not living together and her partner had a gambling problem. John Philpotts, prosecuting, said there was no evidence her partner gambled to excess, or at all.

Littlehales, from Wrexham, admitted the fraud.

She received an eight-month prison sentence suspended for 18 months and was ordered to carry out 200 hours unpaid work. She must pay £250 costs.

Mr Philpotts said that the total overpayment from the public purse was £35,000 but she would have been entitled to some £5,000.

Oliver King, defending, said the family had helped to get the money together and it was all available to pay back.

The Judge, Mr Recorder Timothy Petts, said Littlehales had falsely claimed about £8,000 a year – money to which she was not entitled - between February 2012 and December 2015. The money came out of the public purse - money meant to help people who deserved it, not for people like her. He said the tax credit claim had been legitimate to start but her circumstances changed and she had made several monthly declarations to say that they had not.

The Recorder warned that if she had been convicted after trial then she could have gone to prison for 12 months.

She was currently working at two jobs to ensure the money was repaid.

Mr King said his client had pleaded guilty at an early stage in the magistrates’ court and since her admissions to the offence the family had worked hard to cobble the funds together so that the overpayment could be paid in full. He said the money had been absorbed into general expenses. “There was no fast car on the drive or champagne in the fridge, no holidays or extravagant life-style,” said Mr King.

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Nurse struck off for social housing fraud

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A nurse who bribed a corrupt Southwark Council housing officer to get a council flat in Peckham has been thrown out of the profession, after a Nursing and Midwifery Council (NMC) hearing. (h/t tenancyfraud)

Theresa Okondunjokanma was jailed for eighteen months last September for council housing fraud, after submitting a series of bogus documents, including birth certificates for other people’s children.

The NMC panel heard on May 26 that her dodgy documents were accepted with a £2,000 bribe by Southwark Council officer Trudy Ali-Balogun, in May 2004.

Ali-Balogun, 55, was jailed for five years in May 2016, after she pushed through 24 fraudulent applications for council homes between 2003 and 2005. Ali-Balogun made at least £20,000 in backhanders, predominantly helping the Nigerian community in London obtain the public housing.

Okondunjokanma’s fraudulent application cost the taxpayer an estimated £100,000 and she was charged on three counts of fraud. Having illegally gained the Peckham council house, she profited by subletting it to her sister in 2009.

Okondunjokanma was not present at last week’s panel hearing, and submitted evidence via written statements to the NMC.

NMC panel chair Kenneth Caley said: “The panel noted that Ms Okondunjokanma has [portrayed] herself as the victim in her emails and statements to the NMC." In her letter dated April 24, 2017, Okondunjokanma stated that she gone through “the trauma of crown court, imprisonment and compensation of £20,000 paid to Southwark Council for a case [which] I’m only a victim of circumstance.”

The panel noted an apology made by Okondunjokanma, but Mr Caley said: “The panel was of the view that she has not taken responsibility for her role in her crime. The seriousness of the dishonesty has led the panel to conclude that Ms Okondunjokanma’s behaviour is fundamentally incompatible with being a registered professional. The panel is of the view that the public would expect Ms Okondunjokanma to be removed from the NMC’s register as a result of her actions.

“A striking-off order is the only sanction that would satisfy the public interest in order to maintain public confidence in the profession and the NMC as its regulatory body.”

Okondunjokanma’s criminal trial (in September 2016) ended Southwark Council’s crackdown on council housing fraud known as Operation Bronze, which opened in 2011 and achieved 38 convictions, resulting in 42 properties being reallocated to genuine applicants.

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Benefit thief whinges over sentence

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A model is facing a prison sentence after refusing to turn up for her community service because she did not want to “mix with scallies” on the bus.

Chelsey Harwood, a transgender webcam girl and model who rose to fame through internet series This Is Liverpool, was tagged and given a community service order after stealing £25,000 of taxpayers’ money.

She was also given a suspended sentence of four months for benefit fraud.

But Chelsey is now facing an immediate jail term after brazenly flouting the conditions of her community order.

The 29-year-old told the Liverpool Echo she hadn’t shown up for her service because she didn’t want to get the bus.

She said: "I haven’t got public transport in years, I couldn’t even tell you how much a bus costs. I would not get a bus unless they paid for it. How do they expect me to get there?"

Chelsey claims her community service placement is 26 miles away and starts at 9am, so she is unable to make it in on time.

She added: "I don’t want to mix with scallies on the bus. Don’t get me wrong I love a scally, I like spending time with scallies – but that’s when I choose to spend time with scallies. Not when it’s forced on me, do you know what I mean?"

A Liverpool Crown Court letter revealed she has failed to turn up to two community service appointments and the judge will consider if she should face a prison term.

Chelsey has claimed that she should not be subjected to unpaid work because she has mental health problems, and her legal team was fighting the ruling.

She has also complained that the tag placed on her has left her unable to go on any dates and has ruined her single lifestyle.

She added: "I’ve got so many plans for the next few months that it would ruin. I’m going to see Queen and I’m going down to London for the launch of a swingers club."

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National benefit fraud totals?

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This is the BBC's soothing take on benefit fraud. They are essentially expounding the government's own numbers. By comparison with 2012-13, note how the biggest single item, housing benefit fraud, has shot up, even on the government's estimates. It remains true the the government is not exactly going out ruthlessly to identify benefit fraud. If that was what it wanted to do, it would do an in depth study in one locality and then scale up its national estimates based on that.

Better to let sleeping dogs lie than court political accusations of failure.


Let's start with a question.

What percentage of benefit payments do you think is lost to fraud?

A survey in 2013 by Ipsos Mori suggested people believed that £24 out of every £100 spent on benefits was fraudulently claimed.

What do you think - too high, too low? Want to know the real answer? It's £1.10 in every £100.

The figure is an estimate from an official government document, from the Department for Work and Pensions (DWP), published last December and refers to the financial year 2015-16.

The figure may well be a lot less than you thought, but it's still a lot of money. In 2015-16, total spending on benefits was £172.3bn, which means that £1.9bn was fraudulently claimed.

The fraud rate - 1.1% - rose from 0.8% in 2014-15, and now stands at the highest recorded rate. That may be because more people are "at it", but probably not.

After the end of the 2014-15 financial year, officials changed their methodology, which has resulted in more overpayments being attributed to fraud rather than claimant error.

The DWP has looked at five benefits in particular - universal credit (UC), housing benefit, employment and support allowance (ESA), jobseeker's allowance (JSA) and pension credit.

They calculated that the largest fraud in 2015-16 - totalling about £1bn - was in the housing benefit system. These fraudulent claims amounted to 4.1% of the total paid out in housing benefit. (But some of the figures are huge - see for instance Southwark.)

In fact, the recalculation carried out recently has led officials to believe that fraud is on the rise in housing benefit, ESA and pension credit, but falling among claimants of JSA.

In UC - which sees six benefits rolled into one monthly payment - the statistics are less certain as there are fewer claimants and the benefit hasn't been fully rolled out yet. But officials believe that fraud in UC is less than on JSA.

Honest mistakes?

Fraud payments are part of a wider category - benefit overpayment - which also includes honest errors by claimants and mistakes by officials.

The total overpayment in 2015-16 was £3.3bn, about 1.9% of all benefit payments.

But bear in mind that not all of that is lost - the department does recoup some of it and £1bn was repaid to the Treasury last year, which still means that more than £2bn was lost.

The DWP's inability to reduce fraud and error to much lower levels led the National Audit Office to chastise the department last summer, "qualifying its audit opinion" in official speak. But the DWP's accounts - and those of its predecessor departments - have been similarly berated every year since 1988-89.

Underpayments

One final point - while some people are being paid too much, others are receiving too little. The amount underpaid to benefit claimants in 2015-16 was £1.7bn, or 1% of total expenditure, the highest recorded rate. Most of it was due to errors by the claimant (£600m) with the other £400m due to mistakes by officials.

So in 2015-16, the government overpaid benefits to the tune of £3.3bn, of which £1bn was recouped, while claimants were underpaid £1.7bn.

It all means the Treasury was £600m down due to fraud and error in the benefits system.

Well that's the BBC's establishment take!

Suspended sentence for tax credit fraud

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A woman has avoided jail after pleading guilty to working tax credit fraud which saw her claim £18,000 which she was not entitled to.

Danielle Hughes, 29, continued to claim working tax credit despite not being in work as she had begun maternity leave.

The defendant was sentenced at Cardiff Crown Court after pleading guilty to fraudulently obtaining working tax credits, at the same hearing

Prosecutor Andrew Jones told the court that Hughes, of Treorchy, was originally entitled to claim working tax credits in March 2012 while working for Serco on a minimum hours contract. However her position changed in December 2012 when the defendant took maternity leave which meant she was no longer entitled to working tax credits, but she continued to claim until April 2015.

Mr Jones said: “The defendant was on maternity leave and she continued to carry out a working tax credit declaration to say she was working when she wasn’t.”

Hughes was interviewed by police in 2015, where she admitted the offence, claiming she feared she would not have enough income.

The case was that while Hughes was not entitled to working tax credits, she would have been entitled to income support.

It was claimed on her behalf that she was falsely claiming due to “ignorance” of benefits she was entitled to.

Her benefit situation was described as “a mess” and she had not been claiming what she was entitled to as she was worried about getting in trouble again.

Sentencing, Judge Michael Fitton QC said: “I am not going to impose an immediate prison sentence but because of the length of time the claim persisted, it was about two years, it has to be marked by a form of prison sentence but I am going to suspend it.”

Hughes was given a 16 week prison sentence suspended for two months and was made subject to a curfew for two months which prevents her from leaving her home between 9pm and 7am.

Preston Council recovers funds from residents

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A zero-tolerance approach to benefit fraud has seen £140,000 recovered from residents in Preston. Council bosses say the clawed back funds will be essential as they “strive to do more for less” in the wake of significant funding cuts. (h/t FraudManager)

Officers also recovered four social housing properties not being used as the tenants’ principal home during the last financial year.

They found £140,876 worth of over-payments caused by fraudulent claims or residents not reporting changes in circumstances affecting their benefits.

A council spokesman said: “The Government’s austerity programme has led to a substantial reduction in funding and this means that as a council we must strive to do more for less. “It is vital that we ensure our limited funds are directed towards the provision of essential services and that we minimise our losses to fraud. Preston City Council has a duty to safeguard public funds and therefore has adopted a zero tolerance approach to fraud. As such, we have a Corporate Inquiry Team, which works closely with the police and other agencies to prevent, detect and deter fraud against the council and its partners.”

The overpayments consisted of council tax reduction scheme funds totalling £34,940, council tax benefit of £3,089, housing benefit of £45,668, council tax of £55,726 and business rates of £1,452.

Source

Light sentence for £51k benefit fraud

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A scrap metal dealer from Wrexham who received more than £51,000 in a benefits scam has been ordered to repay the money.

Mathew Joseph Malanga, of Wrexham, claimed benefits on the basis he was not working - but he was self-employed. He admitted five charges of benefit fraud at Mold Crown Court.

Malanga, 40, was given a 12-month prison sentence, suspended for one year, and told he must repay £51,226 back in compensation at £160 a month.

The court heard he started claiming incapacity benefit in 2003 and continued to do so for 10 years, despite starting working on a self-employed basis in scrap metal.

An investigation showed that within a 12-month period, £82,000 had been paid into one of two bank accounts which he had not declared. He spent the money on drugs, drink and gambling, the court heard.

But it was told three years had passed since the offences, he had re-built his life and set himself up in business.

Judge Niclas Parry told Malanga that he had "cheated the public" for six years.

Source

So he stole £51,000. He gets a suspended prison sentence and has to pay the money back at £160 a month. With no interest, that will take 26 years.

Woman admits benefit fraud

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A woman who admitted carrying out benefit fraud while living in Widnes has escaped an immediate jail term.

Natalie Hallwood, now of St Helens, pleaded guilty to three offences after she claimed benefits while living in Widnes.

The 31-year-old was charged with making a dishonest representation to obtain benefits relating to her rental obligation when she did not pay rent. She was sentenced at Chester Crown Court on June 2 for dishonest representation as well as one count of dishonestly failing to notify a change in circumstances in relation to £15,000 deposited into her bank account.

Hallwood, who pleading guilty to the offences at Liverpool Crown Court on May 9, was handed a sentence of 36 weeks’ imprisonment which was suspended for 18 months.

She must also carry out 100 hours of unpaid work and pay a £100 victim surcharge. The overpayment, between May 2012 and February 2014, was more than £13,202, with £11,230.30 in housing benefit and £1,972 in council tax reduction.

Cllr Mike Wharton, Halton Council's executive board member for resources, said: “The council continues to place great importance upon detecting housing benefit fraud, as indicated by the fraudulent overpayments it has uncovered over recent years, to ensure that only those who are correctly entitled to receive housing benefit do so and the public purse is not defrauded.”

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Council tax fraudster caught

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On Tuesday 13 June Laura Lincoln pleaded guilty at Oxford Magistrates Court to one count of ‘Failing to Disclose a Change in Circumstances’ contrary to Schedule 8 of the Council Tax Reduction Schemes (Detection of Fraud and Enforcement) Regulations 2013. (h/t Tenancy Fraud)

Ms Lincoln had failed to declare that her partner was living with her for a period of two and a half years. She received a criminal conviction and was ordered to pay a fine of £200 and costs for the prosecution. She will also have to repay the overpayment.

This led to a Council Tax reduction being wrongly paid to Ms Lincoln of over £2,400. Investigators found that Ms Lincoln and her partner had been living as a family with their three children for this time despite Ms Lincoln making several declarations to the contrary.

Councillor Ed Turner, Board Member for Finance and Asset Management said: “This conviction reiterates Oxford City Council’s zero tolerance approach to fraud. The Council employs a highly-skilled investigation team who work tirelessly to root out fraudulent behaviour and we will prosecute offenders. It is very import residents claim money to which they are entitled, but residents must be honest about their circumstances, or the consequences can be very serious indeed.”

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Ex-Mayor facilitated benefit fraud

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Four-time former Littlehampton mayor Malcolm Belchamber has been found guilty of fraud and forgery offences. The town councillor of four decades was convicted on Monday (June 19), following a five-day trial at Hove Crown Court, the Crown Prosecution Service confirmed. He will be sentenced on July 24.

Belchamber, 70, denied producing a fraudulent letter to help acquaintance Osman Koroma claim increased housing benefit in November, 2014.

The experienced public servant, who was working at the Littlehampton branch of Leaders at the time, claimed colleague Gillian Clifford had written the letter. Mrs Clifford strongly denied the accusation when she took to the witness box.

Belchamber also denied forging a Home Office letter, which sought to claim Koroma had indefinite leave to remain in the UK. The court heard how the letter, dating back to 2004, was found in a box file in Mr Belchamber’s bedroom wardrobe when police raided his home in connection with their investigation into the 2014 fraud. He claimed he had copied it for Koroma at the time but had not studied the contents and did not know what it was for.

Koroma did not give evidence during the trial. He is currently serving time in prison after being convicted of child sex offences in 2016. Belchamber’s case is not linked to the investigation into Koroma.

The jury of six men and six women retired to consider their verdict on Monday. They convicted him of making a false article for use in fraud and making a false instrument with the intention it would be accepted as genuine. Belchamber was dismissed from Leaders for gross misconduct following an investigation into the 2014 letter. The letter, written to Arun District Council on November 25, advised the authority of an apparent increase in Koroma’s rent. It prompted an increase in Koroma’s housing benefit.

Evidence of wrongdoing only came to light after Koroma’s landlord asked Leaders to increase the rent, shortly after Arun received the fraudulent letter. The actual rent increase was less than the £650 monthly fee quoted in the fraudulent letter, leading Arun to question the decrease.

Speaking after the verdict, Arun chief executive Nigel Lynn said: “Arun District Council support the prosecution of Malcolm Belchamber on housing benefit fraud. “We are always on alert for housing benefit fraud and we will take appropriate action against people we believe are fraudulently claiming benefit from the public purse.”

Belchamber, who was Littlehampton mayor between 1982/83, 1992/93, 2004/05 and 2006/07, was made an MBE in 2004 for services to the town. Several witnesses told the court of his good character. They included Littlehampton Cricket Club stalwart Hugh Milner, who described Belchamber as an ‘incredible supporter of the community’. Veteran county, district and town councillor Dr James Walsh also attested to Belchamber’s good work. He said: “I am utterly shocked and in disbelief because it goes totally against everything I have known of his character over the best part of 40 years. He has been a model of rectitude and somebody who you would always trust with anything.”

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Disabled blue badge fraud in Bedfordshire

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A woman who fraudulently used a Blue Badge to park in a disabled bay has been sentenced in court.

Martine Edward, of Pirton, appeared at Luton Magistrates' Court where she admitted Blue Badge fraud – a criminal offence.

The Blue Badge permit was in the name of another woman and the badge is only to be used by her or in a vehicle in which she is being transported.

Edwards was spotted on November 8 last year using the permit in Crawley Road car park, Luton, by a Luton Borough Council officer without the badge holder present in the vehicle.

As the Blue Badge holder lives in Central Bedfordshire then the case was investigated by council officers in that local authority.

When interviewed Edwards said she believed it was okay to use the badge if she was supporting a disabled person, but then accepted that it is not appropriate to take up a disabled space or to misuse a Blue Badge permit.

She confirmed that she is not eligible to use a Blue Badge permit if on her own.

Edwards was fined £183, ordered to pay £200 towards the prosecution costs and a victim surcharge of £30.

She was given credit for her previous good character and guilty plea at the first opportunity.

Councillor Richard Wenham, Deputy Leader and Executive Member for Corporate Resources, said: "While some may see the overall cost of £413 as a relatively small price to pay for her offence, the real impact on Martine Edwards is that she now has a criminal conviction to her name. That may affect her current job as a social worker and could also affect future employment opportunities. Fraudulently using a Blue Badge could not only land you in court, as this case proves, but is incredibly selfish as it takes away a parking space that disabled people may need to use."

The court case follows hot on the heels of a day of action against Blue Badge fraud across Central Bedfordshire.

Officers checked 112 Blue Badges across Biggleswade, Dunstable, Leighton Buzzard and Sandy last Friday (June 16) and found that seven were being fraudulently used as the badge holder wasn't present on the journey. The council will now be taking further action in these cases.

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Woman admits almost £24k benefit fraud

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A Keighley woman will be sentenced at crown court after admitting benefit fraud of almost £24,000.

Angela Dixon, 41, appeared at Skipton Magistrates' Court, where she admitted eight counts of dishonestly making a false statement to obtain a benefit or allowance.

Dixon failed to give full and accurate details of her capital to Craven District Council and to the Department of Work and Pensions (DWP) between October, 2010, and September, 2014.

She received overpayment of £23,931 in Employment Support Allowance, Housing and Council Tax benefit and Jobseekers Allowance.

Keith Blackwell, in mitigation, said Dixon had already repaid Craven Council the full amount of £13,931, and had been repaying the DWP on a monthly basis since early last year.

She will be sentenced at Bradford Crown Court on July 21.

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