Fraud

Our Role

The Corporate Fraud Investigation Team investigates allegations of internal fraud, Housing and Council Tax Benefit fraud within the Southend-on-Sea Borough.

Our aim is to assist the council in protecting the public purse by deterring, preventing, detecting and investigating fraud and corruption.

Fraud is an intentional criminal activity. The Fraud Act 2006 states that people who carry out serious fraud can be imprisoned for up to 10 years.

What is Fraud and Corruption?

A definition of fraud is: 'Any action deliberately taken against the Council from within or externally to secure unfair or unlawful gain or advantage.' Fraud is often considered as 'taking something you are not entitled to' e.g. cash, supplies or even people's identities. Beyond such thefts, however, it also includes false accounting, deception, forgery and bribery.

Corruption occurs when an individual abuses their position or powers to make a gain for themselves or for someone else. It often involves collusion between two or more individuals.

What is the cost of Fraud?

It is estimated that fraud costs the country billions of pounds each year. This money is predominantly lost to the following types of fraud:

• Housing tenancy fraud £900 million
• Benefit Fraud £1 billion
• Procurement fraud £855 million
• Payroll and recruitment fraud £152 million
• Council Tax fraud £90 million
• Blue Badge Scheme abuse £46 million
• Grant fraud £43 million

Types of Fraud

There are many types but here are some common examples:

• Procurement and Contract Fraud - Fraud can happen when the tender process has not been followed, or when there is bid rigging. It can also happen when there are payment claims for goods or services that were not delivered or were inferior to what was specified in the order. i.e. awarding a building contract to a friend by providing them with inside information to enable them win the contract.

• Housing Fraud - Giving false information or failing to disclose information in order to obtain or retain a council property i.e. Illegal sub-letting of a council property.

• Grant Fraud - Supplying incorrect information to obtain a council grant i.e. Declaring a lower income or not providing savings details to get a home repair grant.

• Blue Badge - fraud and abuse of the disabled blue badge parking scheme i.e. travelling without the disabled party in order to avoid charges and gain parking advantages.

• Benefit Fraud - If incorrect information is supplied in support of an application for Housing and Council Tax Benefit or a change of circumstance is not promptly declared. For more information on this and to report Benefit Fraud please refer to the link at the bottom of the page titled "Reporting Housing Benefit and Council Tax Benefit Fraud"

• Bribes - Offering or accepting gifts, hospitality or dishonest payments in exchange for goods or services. i.e. day out golfing in exchange for awarding a contract.

• Theft - The unauthorised taking of council or personal property.

The allegations may be from members of the public, officers and members of the Council, other Government departments (for example Department of Work and Pensions) and from the results of national and local data matching.

Where fraud is found or suspected the Council will:

• Consider cases on their merits and investigate.
• Work within guidelines based on best practise and relevant legislation.
• Seek compensation and costs as appropriate when public funds have been defrauded.
• Ensure that successful prosecutions are reported to the media in order to demonstrate its continual drive to prevent fraud.

How to report Fraud

You do not need to give your name just the details of the suspected fraud. The information you give will be treated confidentially. If you know that someone is committing fraud, then please:

• Use the online 'Report a suspected Fraud' form. 
• Call us during office hours on 01702 215254 
• Leave a message on our Report Line 24 hours a day on 01702 215215.
• Send an email to counterfraud@southend.gov.uk.

All allegations received are considered and a decision is taken whether to investigate. The more information that is given the more likely the investigation will result in a positive outcome.

What information do you need to know?

The type of information that is necessary for an investigation to take place is:

• Name and Address of the suspected person(s)
• Description of the person(s)
• Description and registration number of any vehicles
• Details of the type of fraud that is suspected of taking place
• Any other details that you feel are relevant
• How you know this information

Help us save the taxpayers money - Report Fraudsters!!!