Minister asks police to investigate benefit fraud cases

The minister for the family and social solidarity Marie-Louise Coleiro Preca has written to the Police Commissioner asking him to investigate the alleged abuse and cases of fraud in social benefits, which emerged from the recently-published report by the Auditor General 'Addressing Social Benefit Fraud - 2010-2012.'

The report revealed that there were various cases of persons receiving social benefits which they were not entitled to.

In one particular case, a man was alleged to have carried out business transactions amounting to nearly €3.4 million, despite receiving €76,000 in social benefits.  The report also revealed that there were many cases where single mothers registered the father of their children as 'unknown', in order to receive additional welfare from the state.

Coleiro Preca said that, in light of the report, an independent task force had been assembled to analyze the recommendations outlined in the report.

The task force is made up of Professor Maurice Mullard, government's financial consultant, Professor Mario Vassallo, and Dr Josianne Cutajar amongst others.

"The aim is to make sure that benefits are given to the vulnerable in society - the one who really need our help," she said.

"By doing away with abuse, benefits could even be increased for such persons," she said, stressing that whoever is found culpable of fraudulent acts must shoulder the responsibility.

Describing the BAO report as an "eye-opener", Coleiro Preca said that it did not only speak about cases of abuse, but also ones of efficiency.

She said that dating back to March of last year - when she became a minister - she found that both the Department of Social Security and at the Department for the Investigation in Benefit Fraud were lacking in resources and clear policies.

In order to combat these inefficiencies, the ministry set up a single means-testing mechanism in November of last year, more than two months before the audit report was published.

These included, amongst other things, a more efficient system of collaboration and coordination between government and various institutions such as the Public Registry, the Employment and Training Corporation, the Tax Compliance Unit, banks and hospitals.