Landlord jailed after benefits fraud and money laundering case

A man who owed several properties has been sentenced to two and a half years in jail after claiming Council Tax benefit, Job Seekers Allowance and Pension Credit.

The prosecution of Michael O’Brien, of Coulsdon, Surrey, was brought following an investigation by Reigate & Banstead Borough Council in Surrey.

He was convicted of six charges of dishonesty and one of money laundering.

O’Brien failed to declare ownership of three rental properties and the income he received from them to officers at Reigate & Banstead Borough Council and the Department of Work and Pensions.

Between 2003 and 2011 he claimed £14,668 of Council Tax benefit from Reigate & Banstead, and was overpaid £106,232 of Job Seekers Allowance and Pension Credit from the DWP.

But, as well as his home in Coulsdon, he owned a second property in the town. He previously owned a third property in Purley, Surrey, and another in Gillingham, Kent, both of which he sold before the start of the investigation.

According to the council’s website O’Brien cancelled his claims for benefits from the DWP and Reigate & Banstead Borough Council in 2011 when he became aware of the investigation. He has previous convictions dating back to 1990 for benefit fraud.

Cllr Rita Renton, Reigate & Banstead’s executive member for housing and welfare, said: “The sentence of two and a half years in custody reflects the seriousness of this case of fraud and money laundering.

“Our officers fought hard to ensure Mr O’Brien was brought to court to answer the allegations, despite several attempts by him to delay court proceedings.

“Fraud costs local taxpayers tens of thousands of pounds, diverting public funds away from those who need it, directly affecting our communities. It is only right that people who commit such crimes should be held to account and we work hard to investigate where we suspect fraud and to recover money claimed fraudulently.”

O’Brien is required to repay the overpayments in full. The council is now seeking to confiscate his assets under the Proceeds of Crime Act to recover the money in a hearing scheduled for December.

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One Comment

  1. Woodentop

    "He has previous convictions dating back to 1990 for benefit fraud". Whatever happened to the ruling prohibiting persons with criminal records working in estate agency?

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