Benefit Fraudsters Receive Confiscation Orders
On the 25th of January 2006, an investigator from Newham Council reported a large scale benefit fraud to local police. It was discovered that a total of £226,160 of housing and child benefits had been fraudulently obtained over a three year period.
The case was then referred onto the Metropolitan Police's Public Sector Fraud Team who executed search warrants at a number of addresses across East London. During these searches a quantity of passports, driving licences and documents were recovered.
One of the addresses was occupied by a man aged 39, his believed wife aged 36 and their five children. The documents discovered at the address led to the revelation of a property empire driven by the man consisting of at least 15 properties.
The couple were arrested on the 10th of August 2006 and charged with 42 acts of false accounting. On the 17th of September 2007 at Southwark Crown Court, both were convicted on all counts and on the 18th of January 2008, the man received a prison sentence of 5 and a half years with his believed wife receiving an 18 month prison sentence.
London RART undertook the financial investigation on the couple. All the properties and bank accounts identified were included in a Restraint Order obtained by London RART. Many of the mortgage lenders repossessed the properties whilst the proceedings were taking place.
On the 27th of March at Kingston Crown Court, a confiscation order for £423,722.51 was made against the man. He was given 6 months to satisfy the order or he will face 6 years being added to his sentence. Even if he decides not to satisfy the order and serve the term of imprisonment he will still remain liable to pay this amount.
A confiscation order was also made against his believed wife for £50,557.78 who was given 6 months to pay. If she fails to do so, a further 18 months will be added to her sentence.