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Fraud Letter advice

Hi

I am writing on behalf of a friend who has been desperately looking for work for the last 12 months after being made redundant.
He has been claiming Job seekers allowance of £65 a week for the last year but has a mortgage and utility bills to pay of around £400 a month. In order for extra money, he has given one of his spare rooms out to a lodger who pays him £100 a week which helps him survive. He did not declare this income which started a few months after he starting claiming.

The problem is, he has received a letter from the Job Centre Fraud dept claiming that he may have committed a criminal offence and asked him to come in for an interview. My friend is worried as the only thing he has not done is declare the income for the lodger. He knows that any changes in circumstances should be declared but this seems a bit harsh for someone who wants a job badly and has worked and paid taxes most of his life.
What is the likely outcome of this apart from having the allowance stopped and paid back?

Please don't be harsh and say he deserves it as its clear benefit fraud. He just wants some advice.

Thanks
«1

Comments

  • Advice is to go to the interview and be honest. An investigation into failure to declare nearly £5000 in income (some of which *may* have been disregarded) does not seem harsh to me.
  • Caz3121
    Caz3121 Posts: 15,917 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    ...and have a think about how he is going to be able to pay it back

    was he also claiming help with his mortgage interest?
  • kopper
    kopper Posts: 184 Forumite
    Does this mean he will get a criminal record?
    Yes he received about £35 a month for help towards his mortgage
  • kopper wrote: »
    Does this mean he will get a criminal record?
    Yes he received about £35 a month for help towards his mortgage

    Criminal prosecutions for benefit fraud are rare but not unheard of. An administrative penalty is a far more common sanction, which would be a 30% 'fine' on top of what he owes. Being completely honest at the interview will certainly go in his favour.
  • Criminal prosecutions for benefit fraud are rare but not unheard of. An administrative penalty is a far more common sanction, which would be a 30% 'fine' on top of what he owes. Being completely honest at the interview will certainly go in his favour.

    Pretty sure when more than £2,500 is involved it tends to go to court.
  • real1314
    real1314 Posts: 4,432 Forumite
    kopper wrote: »
    Hi
    ....this seems a bit harsh for someone who wants a job badly and has worked and paid taxes most of his life.

    To put the other side, your friend has been getting £65 a week JSA, his mortgage paid and has had an extra £100 per week on top.

    A single person on minimum wage earning £160 a week pays tax; on a shared room rent of £50 per week they would get no benefit help.
    They would have a post-rent and tax income of £106 a week and would be paying tax.
    Your mate had £165 and was not working, nor paying tax.

    The point of this is to consider what the person on £160 a week might think of your pal in relation to any possible prosecution.

    £5k fraud is very much in the prosecution territory. :cool:
  • Killmark wrote: »
    Pretty sure when more than £2,500 is involved it tends to go to court.

    Any amount can go to court, but the cases that are prosecuted tend to have additional factors involved, such as intent, collusion etc. An early admission is the best way to avoid this happening.

    It should also be remembered that there would be disregards from the rental income, so the overpayment may not be as high as it seems.
  • vax2002
    vax2002 Posts: 7,187 Forumite
    I would advise he uses some of the income to speak with a solicitor, who will generally spend around half an hour informing him of his rights:
    Not to attend any interview by invitation
    His right to silence
    His right not to provide any information which may incriminate himself
    The obligation of the prosecution to prove the charge beyond reasonable doubt
    The chances of obtaining such prosecution in absence of self confession
    The way that witnesses who have already given evidence against him may have done so in anonymity and such evidence can not be used in court.
    That any informant may be reluctant to attend court and face the accused and may withdraw any statement.
    That those admitting fraud do not get "let off" harsh examples are made to deter those not prosecuted.
    Hi, we’ve had to remove your signature. If you’re not sure why please read the forum rules or email the forum team if you’re still unsure - MSE ForumTeam
  • bigbill
    bigbill Posts: 933 Forumite
    Part of the Furniture 500 Posts
    Normally the first £20 is ignored and then 50% of the remaining amount as well?

    Did the person claim any Housing Benefit help?
  • rogerblack
    rogerblack Posts: 9,446 Forumite
    Also - were they claiming council tax benefit, or single person discount on council tax.
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