Prosecutions for benefit fraud in city up by 39%
BENEFIT fraud prosecutions in Nottingham have risen by nearly 40 per cent, according to new city council figures released to the Post.
City council deputy leader Graham Chapman said the tough economic climate had led to an increase in offending in Nottingham and the rest of the UK.
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City council deputy leader Graham Chapman
But he believes the increase – for the period from April 1 to October 31 this year, compared to the same period of 2010 – makes it clear to benefit cheats that their crimes won't pay.
He said: "False claims will be uncovered and, as well as facing prison, those who made the claims are likely to end up with a big debt to repay for many years to come.
"Our successes in bringing to book those who cheat the benefits system get better each year. Decent, hard-working people are very cross when they hear about those who defraud the benefit system. Worse still, benefit cheats undermine all those people who are genuine claimants.
"Members of the public are passing on some very useful information and our effective work with the Department of Work and Pensions is also helping to expose the fraudsters."
Councillor Chapman, who is also the council portfolio holder for resources, said all information the city council receives on suspected benefit fraud is always investigated.
There were 43 prosecutions between April and October 2011, compared to 31 prosecutions over the same months of 2010 – a rise of 39 per cent.
The council is now prosecuting more fraudsters, rather than issuing an administrative penalty or formal caution.
There were just 13 administrative penalties issued between April and October 2011, compared to 26 in 2010.
There were 47 formal cautions compared to 45 previously. Those formally cautioned still have to repay fraudulent overpayments.
In more serious cases that do not end in prosecution, a council can demand full repayment plus 30 per cent of the total figure as an administrative penalty.
Junior Buchanan, of Allendale Avenue, Aspley, was last month given a 12-month community order requiring him to complete 250 hours of unpaid work and was ordered to pay £150 costs after Nottingham Magistrates' court heard details of his housing and council tax benefit scam.
Buchanan, a 44-year-old private landlord, was entitled to his council house when it was allocated in 1995.
But seven years later, in October 2002, he bought a three-bedroomed house in St Ann's which he rented out.
However, he failed to declare he had acquired a capital asset or declare his income from rent.
He continued to claim housing benefit and council tax benefit from Nottingham City Council for his council house and jobseekers allowance from the Department of Work and Pensions.
Between 2008 and 2011 Buchanan received £10,965 from fraudulent claims.
In a hearing on October 28, he admitted dishonestly failing to disclose information and dishonestly making false representation.
The Audit Commission's Protecting the Public Purse report published earlier this month revealed that England's councils succeeded in detecting £185 million worth of fraud in 2010/11, an improvement of 37 per cent on last year's figure of £135 million.
Anyone with information on suspected benefit fraud in Nottingham can report cases by calling 0115 876 4445 or by ringing the National Benefit Fraud Hotline on 0800 85 44 40.
All calls are in confidence and callers do not have to give their name.
24 Comments
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by eddynffc
Wednesday, November 23 2011, 6:55PM
“jennywitch you speak the truth !! many on benifits are working aswell i hope they can catch the supposidly ill person who lives opposite me , while he does work on the side”
by amzylouise
Wednesday, November 23 2011, 6:37PM
“Jennywitch, I do not understand why you make a salient point, followed by childish goading of other users. People would take you far more seriously if you didn't want to cause arguments on every board.”
by diverongas
Wednesday, November 23 2011, 5:28PM
“People may be against tax evasion, but not many report it, if you drive down Arnovale Road you will se a large house that is being refurbished, just opposite the school, the people working there are on the dole and one of them braggs that he has never paid tax in his life, I have reported them and nothing has been done.”
by starving
Wednesday, November 23 2011, 2:15PM
“Why does the statement that the government is to cap Benefits at £500 a week fill me with anger?
How many workers end up with that amount tax free a week?
No wonder so many are scamming it.”
by Bluus
Wednesday, November 23 2011, 12:59PM
“@globy - sorry for my figures - didn't bother to look them up and I should have. However, a few billion compared to over a hundred billion - it's easy to see where the true spivs are.
Diverongas - I think people turn a blind eye because there is little anyone not in Govt or controlling the board of one of these companies can do to stop it. I don't agree though that most people accept it. Considering how many jobs could be saved and how much of the infrastructure of this country could be kept for those who truly need it if the evaders paid their dues, I think most people are in fact very much against tax evasion.”
by jennywitch
Wednesday, November 23 2011, 12:08PM
“The problem of benefit fraud can be illustrated by the information released about a gang of thirteen Liverpudlian drug-dealers recently convicted and sentenced. Seven are from the same family - every one of these seven was on DISABILITY benefit while the eldest female had just taken out a large mortgage. They had huge amounts of caash passing through their houses and bank accounts; the longest sentence passed on any one was just over eight years. Given that none will serve as much as half his sentences, none appears capable of more than low-level, poorly-paid employment even if inclined to work, which none is, and the ill-gotten gains have no doubt been " disappeared" and won't be recovered, all appear to have made hundreds of thousands. I'd say that was a pretty good rate of return. You could multiply instances of this sort of fraud nationwide; the story above is just another example.That's where taxpayers' money is going, and it's a huge problem, whatever the anti-business brigade say.
(Now FormerlyW will stalk me and post some abusive rubbish claiming that my post is all lies. I wonder if Liverpool has tightly-drawn boundaries and is, like Nottingham,just another boringly average city? I await the wisdom of the Great I Am/Great and Mighty Oz)”
by diverongas
Wednesday, November 23 2011, 11:12AM
“Tax evasion is a real crime but most folk's turn a blind eye to it and accept it”
by globy00l
Wednesday, November 23 2011, 10:38AM
“@Bluus
I'm afraid you're wrong - the current DWP estimate for the cost of benefit fraud is £1bn
http://tinyurl.com/bvnajmc
Meanwhile estimates of tax avoidance and evasion reveal a tax gap of as much as £120bn
http://tinyurl.com/cq4oygd
So that's about 120x as much as benefit fraud. If we're going to point the finger at anyone for stealing taxpayers' money it should be tax avoiding businesses.
However, it's much easier to crack down on benefits 'fraudsters' and leave the super rich tax avoiders alone. I'm not saying we should ignore benefit fraud. I'm just saying it's not the main problem.”
by Radford_NG
Tuesday, November 22 2011, 5:23PM
“Add up the figures.....there were 103 people caught cheating this year,and 102 last year.....out of a population of 307,000.”
by Bluus
Tuesday, November 22 2011, 1:50PM
“Good - I'm glad these parasites have been brought to justice. The powers that be claim that £4,000,000,000 is lost every year through benefit fraud.
I only wish they would display the same zeal going after the real masters at robbing the UKs hard earned taxes - if you want to know who they are check out the UK Uncut website.”