Agenda item

The report covers the counter fraud work completed in the year from 1 April 2023 to 31 March 2024 in accordance with the Counter Fraud Strategy and Framework.

Witnesses:

Simon White, Audit Manager - Counter Fraud

Anna D’Alessandro, Interim Executive Director - Finance and Corporate Services

Key points raised in the discussion:

1.    The Audit Manager - Counter Fraud introduced the report noting that the Counter Fraud Partnership Team undertook both reactive work concerning investigations in response to specific allegations and proactive work through data analytics to look for anomalies as well as fraud risk assessments and awareness training. He noted that the Team worked closely with Surrey’s borough and district councils and councils across the southeast, sharing intelligence.

2.    The Audit Manager - Counter Fraud noted that last year, 162 days were used over the allocated 150 days and there were 38 allegations compared to 33 the previous year. That increase was not a concern as it showed organisational awareness of fraud risk, many allegations came from directorates with large officer numbers and transactions. A summary of the last set of National Fraud Initiative results was included and data would be submitted in the autumn again for the biennial exercise.

3.    The Chairman asked whether Blue Badge fraud was increasing annually or remained the same. The Audit Manager - Counter Fraud noted that it was not a growth area, there was better oversight now as the Council was responsible for street parking enforcement. It was more of an issue in urban areas and work was underway with the Blue Badge team and the parking enforcement team.

4.    The Chairman praised the Single Person Discount (SPD) review and noted that Reigate and Banstead Borough Council (RBBC) had the highest increased collection. The Audit Manager - Counter Fraud explained that RBBC was proactive in fraud, encouraging other borough and district council to participate. The Council funded new contract managed by the provider included Empty Homes Reviews, the borough and district councils were encouraged to take up the offer and grants.

5.    A Committee member asked why Epsom and Ewell Borough Council was not an SPD participant. The Audit Manager - Counter Fraud explained that the reasons varied and the Council could not compel participation, borough and district councils were required to provide data but that should not be a big resource commitment. The Interim Executive Director - Finance and Corporate Services noted that the matter could be discussed outside of the meeting with the Member, the matter was discussed at the Surrey Treasurers meetings. The Audit Manager - Counter Fraud noted that the Council wanted to work with the borough and district councils on all areas of fraud, however not all those councils had internal fraud resource. 

6.    A Committee member noted concern regarding the allegation that a Member was planning to unduly influence a planning decision, she asked why that was dealt with internally and was not brought to the attention of the Member Development Steering Group so appropriate training could be facilitated. The Audit Manager - Counter Fraud noted that the allegation was reviewed by the Monitoring Officer who asked the Team to investigate it. It related to a conversation overheard in a pub by a Member concerning a borough and district council planning decision, they were not a borough or district councillor there; the allegation was found to be spurious.

RESOLVED:

Noted the fraud activity completed during 1 April 2023 to 31 March 2024.

Actions/further information to be provided:

1.    A17/24 - The Audit Manager - Counter Fraud and Interim Executive Director - Finance and Corporate Services will follow up with the Committee member regarding the non-participation of Epsom and Ewell Borough Council on the Single Person Discount (SPD) review.