2017 winners

The National Banking Protocol is a remarkable initiative from Financial Fraud Action UK (part of UK Finance), National Trading Standards Scams Team and the Metropolitan Police. It aims to identify and support individuals who are tricked into going into their local bank branch to withdraw or transfer funds to pass on to fraudsters, and where possible, to arrest the fraudster.

The London-wide pilot proved to be a huge success with £1.3 million in financial harm prevented and 19 arrests made in the initial three month period. Prevented frauds included rogue trading, romance scams, investment scams, courier fraud and elder abuse.

As at the end of June 2017, 18 police forces had launched the Protocol, 498 Banking Protocol calls had been made and responded to, £3.2 million in financial harm had been prevented and 34 arrests made which could be directly attributed to the initiative.

With the increasing number of forces due to launch in the coming months, it is anticipated that these numbers will increase steadily.

Judges’ comments: This nomination exemplifies the benefits of working collaboratively. Individuals from the organisations involved showed great tenacity and a tireless commitment to resolving the various challenges they encountered and the Protocol is already making a marked difference.

The Alcohol Intelligence Coordination Centre (AICC) went live in 2016. The unit is a fusion of HM Revenue & Customs’ Fraud Investigation Service and Risk & Intelligence Officers, with a Border Force Taskforce presence.

The Unit was implemented to counter alcohol fraud and has made a substantial impact using a range of highly innovative techniques that encompass both civil and criminal methodologies. The Unit focusses on engagement and embraces the “one Government at the Border” methodology to tacking organised crime.

The AICC’s work is remarkable for its collaborative work across directorates, other Government departments and with EU law enforcement partners, as well as the careful planning, organisation, coordination, commitment, drive and energy shown by the Officers of the AICC, who routinely work long hours, often in difficult and challenging environments.

Since its launch, there has been an estimated 20% reduction in the volume of inward diversion fraud and the delivery of approximately £15m in compliance yield through detections, with a significant impact upon upstream compliance through reduced traffic carrying illicit alcohol (circa £144m per year).

Judges’ comments: the AICC is operating in an incredibly complex environment, with multiple stakeholders and jurisdictions. They have very successfully disrupted the fraud by creating an intense enforcement environment, compromising criminal gang activity.

In 2016/17 HM Land Registry’s Counter Fraud Group (CFG) launched a comprehensive, integrated marketing campaign to raise awareness of how property fraud occurs, who is most at risk and to provide clear ‘calls to action’, so citizens can reduce their risk of property fraud.

Focussed around the free ‘Property Alert’ service, the campaign targeted groups who were deemed most at risk. Without direct access to citizens themselves, the CFG sought to motivate third parties who are trusted and familiar with this audience – solicitors, conveyancers and other property professionals.

Using an array of carefully selected channels, including social media, a dedicated website, leaflets, training materials, webinars and direct mail, the campaign was very successful. It achieved significant press coverage and during the campaign period nearly 52,000 new Property Alert accounts were created. This exceeded the target by over 70% and more than tripled the performance of previous years.

As a result 100,000 more houses are better protected against fraud – an estimated £20 billion worth of property assets (based on the average house price of £200,000).

Judges’ comments: Property fraud is an area of significant risk and the CFG’s campaign left no stone unturned in its efforts to raise awareness and engage citizens with its Property Alert service. They were astute in selecting the most effective, audience-appropriate channels and received justifiably very positive feedback for their efforts.

Leeds City Council’s Internal Audit team uncovered a £178k fraud after proactive data analytics work identified two fictitious creditors that were being paid by a partner organisation.

The audit investigation found that a senior officer working at a partner organisation had been involved in the falsification and authorisation of invoices made out to two fictitious creditors over a two year period. Further to the conclusion of the investigation, the officer was dismissed from his role and the audit work was used to support the criminal proceedings, culminating in a five year prison sentence being awarded for Conspiracy to Commit Fraud by False Representation on 27 October 2016. A co-defendant from outside the organisation was jailed for 16 months having previously pleaded guilty to the same charge. Formal processes are now underway to recover the money that was taken.

The scale of this success reflects the huge value that can be obtained by investing time and resource in proactive data analysis, and supplementing this with the robust and meticulous application of traditional audit techniques.

Judges’ comments: Leeds City Council’s use of proactive data analysis, combined with robust and diligently executed internal audit techniques, exemplifies best practice. The steps taken highlight what can be achieved when rigour and proper processes are observed.

Government Internal Audit Agency (GIAA) Counter Fraud and Investigation was formed in April 2016. It has successfully established a comprehensive counter fraud service, at the centre of Government, across a client group of 14 Government Departments and over 100 Agencies and arm’s length bodies (ALBs).

Though in existence for only 15 months, GIAA Counter Fraud and Investigation has already made a significant contribution to improving the way fraud is addressed within Government. The team has delivered 288 investigations, with 70% concluding a case to answer; 72% of penalties being dismissal or a final warning; and 16 successful prosecutions, with custodial sentences of 44 months. The team has detected fraud with a value of over £9 million, and identified over £270,000 in preventable losses.

They have also worked in collaboration with the Cabinet Office, and taken a lead role in the development of the Counter Fraud Specialism, Counter Fraud Standards and accreditation for the planned Counter Fraud Profession within Government.

Judges’ comments: Client feedback and the impact they’ve already made point to a team working efficiently and to the highest quality standards. Not only are they detecting fraud and undertaking investigations, they’re proactively educating their diverse client base and working to identify emerging threats and vulnerabilities. A truly ‘full service’ team that will no doubt continue to evolve and innovate.

Nick is a world renowned expert in the field of economic crime involving the illegal and fraudulent exploitation of fish stocks.

When initially addressing the issues surrounding the evasion of tax and duties in the Scottish fishing industry, Nick found that the tax frauds uncovered had their roots in earlier frauds in the economic chain and that these were inflicting even more damage on UK Plc than the final tax fraud.

Not only was the long term sustainability of the UK fishing stocks being undermined but he uncovered fraudulent use of labour and the employment of undocumented workers in conditions of “modern slavery”.

In response, Nick took a holistic approach and led on the creation of a multi-faceted integrated law enforcement programme, involving co-operation across all the countries that border the North Atlantic, to tackle all aspects of crime and fraud along the fish Industry supply chain – from the initial harvesting to final end use within the consumer supply chain.

This strategy boosted tax receipts by £30m and secured the prosecution of two boat owners. In addition, the financial recovery strategy now has over £30m of yield in the delivery pipeline.

Judges’ comments: Nick contribution to this highly political and topical issue has been extraordinary. He has used his passion, intelligence and drive to change the international picture and it is little wonder his work has received so many glowing testimonials. He is now a highly sought-after international speaker and his work is being embedded in OECD governmental papers.