Issue - meetings

Report of Internal Audit & Assurance Manager

The Committee received the report of the Internal Audit and Assurance Manager to provide Members with an update regarding the Council’s approach to combatting fraud and corruption in the context of the latest national reports and to seek Members’ comments on and support for the Council’s strategy and the arrangements that are being developed. 

It was reported that the Committee had supported proposals for the creation of a Corporate Fraud Team at its meeting on 21^st January 2015.  The shared Corporate Fraud Team, working in collaboration with Preston City Council and Fylde Borough Council, had started operating on 1^st June 2015.  The Internal Audit and Assurance Manager agreed to provide Members with further information regarding the costs of establishing and operating the shared Corporate Fraud Team.

Members were advised that two national fraud reports had been received by the Council, which were based on the submissions made by English local authorities in a national Fraud Survey.  The reports had been developed by the Audit Commission and were being managed by The European Institute for Combatting Corruption And Fraud (TEICCAF) following the Commission’s closure.  The summary and recommendations from the Protecting the English Public Purse 2015 report were attached as Appendix A and the Fraud Briefing 2015 report was attached as Appendix B to the report.

It was reported that the Council had a legal duty to protect the public funds it administered and to take measures to prevent and detect fraud by sharing information with other bodies responsible for administering and auditing public funds, via the National Fraud Initiative (NFI).  The Council was required to submit data to the NFI on a regular basis and to inform individuals that their data would be processed by publishing a fair processing notice.  The Chief Officer (Resources) had nominated the Internal Audit and Assurance Manager and the Principal Auditor as key contacts for the Council.

The 2014/15 mainstream NFI exercise and the 2015/16 data matching exercise for Council Tax Single Person Discount (SPD) Fraud were currently underway.  Monitoring, as at 22^nd December 2015, showed that the Authority had processed over 90% of matches in the main 2014/15 exercise and was currently processing 72 of the 726 SPD matches, which had been available from 3^rd December 2015.

The Corporate Fraud Manager was present at the meeting, and gave a detailed presentation on the work of the Corporate Fraud Team, including an update on the results achieved so far and how the work was being developed, and answered questions from Members.  The Chairman thanked the Corporate Fraud Manager for his presentation.

It was proposed by Councillor Whitaker and seconded by Councillor Wilkinson:

“That the recommendations set out in the report be approved.”

Upon being put to the vote, Members voted unanimously in favour of the proposition, whereupon the Chairman declared the proposal to be clearly carried.

Resolved:

(1)        That the report be noted.

(2)        That the approach to developing the Council’s corporate anti-fraud arrangements and strategy be endorsed.