Agenda item

(To receive a report by the Head of Corporate Audit and Risk Management which provides and update on our fraud investigation activities and information on progress made against the County Council's Counter Fraud Work Plan 2013/14)

Consideration was given to a report which provided an update on the Council's fraud investigation activities and information on progress made against our Counter Fraud Work Plan 2013/4.

It was reported that since the last meeting, the data analytics capabilities had been developed on a joint fraud proactive/due diligence exercise on expenses and member allowances.  The detailed testing which arose from this work was now complete and a report of findings was being prepared.  Members were advised that there had been some slippage on the counter fraud awareness campaign due to investigative demands, due diligence commitments and the need to co-ordinate promotional work with the development of the e-learning tool and website updates.

Work on the National Fraud Initiative was now complete, and the only area to still be uploaded to the NFI system related to Blue Badges.  The Business Support Team had validated the matches in the area and the results would be posted shortly.

In terms of investigations, there were currently two fraud investigations with the Police; three cases had been investigated since the last meeting of this Committee, these cases have now been closed;  the team was currently investigating five cases of suspected fraud.

It was reported that the Home Office had announced the closure of the National Fraud Authority from 31 March 2014, and the Authority's responsibilities would be realigned to reflect the creation of the National Crime Agency which became operational in October 2013.  It was also announced in the Autumn Statement that new funding would be made available to councils to tackle non-benefit fraud.  It was still to be decided by ministers how to distribute this two year funding, but if shared equally across all councils it would mean an additional £25,000 per year for the next two years.

Members were provided with the opportunity to ask questions to the officers present in relation to the information contained within the report, and some of the points raised during discussion included the following:

·         It was acknowledged that sometimes it could be very difficult to get the police involved, which was why the authority had trained investigators who knew how to collect evidence which would be admissible in court.  The authority would always carry out its own preliminary enquiries before contacting the police;

·         Lincolnshire Police no longer had a trained fraud officer, and this could be a very complex and specialised area of policing.  However, there was an Economic Crime Unit, and if there was a very complex case this unit would be contacted;

·         Internet crime had been identified as a growing area, and there were some resources available at a regional level for tackling this;

·         It was suggested that the whistleblowing process would be a good subject for a councillor development session which would be open to all members of the council;

RESOLVED

1.    That the outcomes of the counter fraud work be noted;

2.    That the possibility of holding a Councillor Development Session, open to all members, in relation to the whistleblowing process be examined.