26/06/2012

Report Uncovers £24m Public Fraud Bill

The Northern Irish public purse has paid out £24m in fraud and error over the past two years, a report found.

Thousands of disabled parking badges had not been handed back after the holder died, in one of the more flagrant fraud examples outlined by the Northern Ireland Audit Office.

More than £13m was lost on the country's rates bills, as householders committed fraud to get out of paying, or their rates were incorrectly calculated.

Fraud and error were responsible for more than £5m of housing benefit overpayments, and more than £2m pension overpayments.

The Audit Office uncovered the sums by matching public data across different departments.

For example, 7,000 blue badge parking permits were matched to death records.

Payrolls between different employers can be compared to catch employees working elsewhere while on sick leave, and housing benefit payments can be compared to payroll to discover if claimants are not declaring income that could remove their entitlement to benefit.

Auditor General Kieran Donnelly said the figures would help the public sector combat fraud.

The report found that about 70% of fraud and error identified by the National Fraud Initiative (NFI) in Northern Ireland is being recovered.

Mr Donnelly said: "Public bodies are encouraged to spend to save and to recognise the contribution that their participation in the NFI can make to the interests of Northern Ireland as a whole."

(NE/GK)

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