1. Chris Corker Corporate Fraud Members Training June 2017

2. Government Welfare Reform
Universal Credit
Late 2011 DWP announce an options paper on SFIS
WAKE UP CALL – Things are changing
How best to use our trained skilled investigators
HB fraud work moves to DWP August 2015
HB, IS, JSA, INCAP, Tax Credits

3. Fraud in the Council Fraud does not want to be detected
Difficult to give a real loss figures
Protecting the public purse / FFL publications
Moral and legal obligation to protect our limited funds

4. Areas of risk Any area where goods and services are applied for:
Housing Fraud
Council Tax
Council Tax Support Scheme
Housing Benefit (Referred to DWP)
Business Rates
Employee
Procurement
Anywhere
Give false information to obtain goods/services
Fail to update the council when circumstances change

5. Housing Fraud Illegal subletting Non occupation
False applications to be housed
False Right to Buy applications
Key selling
Rent deposit scheme
Succession and assignments
Audit commission research estimate outside of London 2% of all Social housing stock is misused
Estimated cost to the council is £18,000 per property.
Crawley Homes have over 8000 properties. 2% = 160 homes
Our priority is to house those in need not fraudsters

6. Council Tax Discounts and exemptions
Over 24,000 accounts had a discount at some stage during 13/14
Over £4.5m was awarded in discounts
Single person discounts / student discounts
Exercise last year resulted in £65,000 saving by just matching against electoral roll information. (This year we estimate £75,000 - £100,000 in savings)

7. Business Rates Collect £120,000,000 Approximately 3100 property's
Approximately 2800 accounts
Sham companies set up to take the fall
Small businesses rate relief
Charities

8. Council Tax Support 8,300 receiving CT support. £7.7m paid out
If we go over our CT support budget then this is a direct loss to CBC
Failure to declare Income
Failure to declare capital
Failure to declare partner
Failure to declare changes in circumstances
2% fraud would mean 166 applicaions would be false losing £154,000

9. Employee False applications No deterrent will cause larger loss
Over £21m paid out in salaries and associated costs
Criminals look for easy targets and use information to select what organisations to target.
If you knew Crawley BC had a fraud deterrent system in place and another authority didn’t where would you apply ?
Crawley is the leading authority in Corporate fraud in West Sussex. (Audit Commission data)

10. Headline Figures
DWP figures show a 4% loss in fraud and error. A 2% loss would mean.
Housing Fraud – 160 properties
CT discounts – 480 wrong accounts £178,000
Housing Benefit - £966,000
CT Support - £154,000
Employee - £ 420,000
Housing 160 properties from 8000, CT discounts from 22K £4.5m,

11. Legal Powers
Successive governments have given us powers to investigate fraud.
Prevention of Social Housing Fraud Act
Council Tax Reduction Schemes (Fraud & Enforcement)

12. Profile Team profile significantly increased Cross department work
New sources of information and intel. So much data held in authority
Training
Local press coverage of cases

13. Moving Forward Continue forging links within the Council
Fraud awareness
Preventing loss is much cheaper than trying to recover it.
Don’t look you won’t find
Finding fraud is positive action and should not be seen as a negative
Support our frontline services