The annual anti-fraud and corruption report was discussed by the audit and governance committee last week (25 January).
The report is part of the council’s Counter fraud and Corruption Strategy 2021-2024, and is designed to give councillors and the public an insight into the council’s anti-fraud work.
Herefordshire’s Counter Fraud Specialist (CFS) Jonathan Nelson leads the Council’s Counter Fraud Department. During the pandemic the CFS raised clawbacks for £1.2 million, prevented £520,000 being paid out, and recovered £700,000 in ineligible Business Support grant applications. The additional £500,000 is “pending recovery”, and nearly £150,000 is “on repayment plans” from businesses.
The Counter Fraud Specialist also worked with the government’s Insolvency Service to wind up two fake companies that had fraudulently applied for £30,000 in grant support.
Mr Nelson was a finalist for the “Outstanding Young Professional of 2021” award at the ‘Tackling Economic Crime Awards’ in recognition for all the contributions he made in helping to combat fraud in Herefordshire. He said: “This report not only demonstrates our resolve against acts of fraud, but it also provides the public and Local Authority with assurance that huge efforts are being made, to ensure public funds are being utilised and distributed appropriately across all Council services. The Counter Fraud Department are making progressive steps to prevent, detect and take action against anyone willing to commit fraud.”
“The recent ‘Counter Fraud Report’ shows that technological advances and data matching has helped to identify instances of businesses who were falsely claiming rates relief across multiple Local Authorities that they were not entitled to, which has led to over £150,000 undergoing recovery action.
Whilst always being on the look-out for major fraud, the council also takes it seriously when individuals overstep the mark. The council’s parking enforcement team led on 12 prosecutions in 2021 against Blue Badge (disabled parking) fraud and misuse - including an instance of a stolen blue badge being used.
Cllr Harvey said: “It is important that we remain vigilant, fraud continues to rise at a national level and criminals continue to find new and creative ways in which to conduct fraud. Local Authorities are often the prime targets, because of the large sums of public money they manage. We will continue to work with partners and law enforcement agencies to prevent and investigate fraud, and to prosecute those responsible.
"It is clear from the report that the work being undertaken does not end there, with the Counter Fraud Department working with Adult Social Care, Direct Payments, Council Tax, and a large number of services across the Authority."
The full counter fraud report, and further information can be found on the Herefordshire Council website.