Defendants sentenced for £12m frauds on public bodies
Ten offenders have this month been sentenced over a series of frauds worth £12m against a range of public bodies including NHS trusts, councils and the Guernsey government.
According to the BBC, the States of Guernsey Government was hit by a £2.6m fraud, with the cash funnelled into seven separate accounts. Lincolnshire Partnership NHS Foundation Trust meanwhile lost £1.28m, which was laundered through eight separate bank accounts.
The BBC reported that the fraudsters took advantage of the fact that public sector contracts were freely available to see, under financial transparency rules. The frauds involved forged letters, emails or faxes being sent to 22 targeted organisations, pretending to be from a legitimate firm already carrying out contract works, it added.
It reported Judge Philip Head as saying: "This was a sophisticated and widespread fraud in its conception and execution.....these bodies were selected because it was hoped their accounting processes would be vulnerable."
Lincolnshire Police, which has been investigating the frauds since the end of 2011, said: “The success of these frauds depended upon a number of bank accounts being available through which stolen funds could be moved out of the UK thereby frustrating the efforts of both the banks and law enforcement in repatriating stolen funds and conducting investigations in to those involved.”
Head of the Lincolnshire Police Economic Crime Unit, Sgt Mike Billam, said: “I am pleased to say that with the assistance of law enforcement in Dubai, Poland and other countries this investigation has got to the heart of this conspiracy and has disabled what was clearly an international organised crime group.
“An investigation of this size cannot succeed without a dedicated investigation team, the commitment and support of the Crown Prosecution Service and prosecution counsel as well as the assistance we have received from numerous police forces in the UK when undertaking arrests and searches. I would like to put on record my own appreciation for their help and support.
“I would like to pay particular thanks to NHS Protect and in particular the work undertaken by the NHS Computer Forensics Department in Newcastle who have provided exceptional support to this investigation, an outstanding example of partnership working.”
Sgt Billam added: “The sentences handed out to 10 defendants reflect the fact that these individuals, motivated only by their own personal greed, have sought to take the tax payers money intended to fund public services and projects as well as to provide care and support to the most vulnerable in our society.”
