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No prosecutions for New Deal Fraud

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New Deal Scandal can reveal that the Department for Work and Pensions has no intention for making any prosecutions for prime contractors deliberately defrauding the system. The Department for Work and Pensions currently has no plans of stopping Flexible New Deal contracts being awarded to prime contractors who have previously defrauded the system on numerous occassions for the New Deal contracts.

Source: House of Commons Hansard Written Answers 20th July 2009

New Deal: Pathways to Work

John McDonnell: To ask the Secretary of State for Work and Pensions what (a) criminal and (b) administrative penalties are available in respect of contractors for work under the (i) New Deal and (ii) Pathways to Work programmes found to have defrauded her Department; and if she will make a statement. [283974]

Jim Knight: All DWP Welfare to Work contracts, including Pathways to Work and New Deal programmes, include mandatory clauses outlining the remedies where contractor fraud is committed. Remedies range from a formal warning with the recovery of any amounts paid by the Department in respect of any fraud or financial irregularity and damages that are appropriate through to termination of contract. Contracts will be terminated where the breach of the contract terms is sufficiently serious.

As having access to a New Deal contract – the DWP can terminate a contract for fraud (they generally choose not to – I would say they never do but Maatwerk was terminated) and there is clauses where overpayments (including for fraud) are to be repaid and also the right for the DWP to deduct such an amount from later payments instead.




2 Comments

  1. 1
    imatt says:

    Disgraceful! But not wholly unexpected. If some ordinary Jack was accused and subsequently found guilty of benefit fraud, say working full time as a doorman/bouncer whilst claiming JSA, he’d be liable to prosecution. Even if this was the first time he’d commited such fraud. No ifs, no buts as the adverts contantly remind us.

    However, as soon as it comes to corrupt New deal provders such As A4e, Working Links et al, no prosecutions are forthcoming! No ifs, no buts huh…………….

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  2. 2
    ken says:

    the whole new deal is a complete sham,involving these private often cowboy outfits is a complete mistake.
    the number one priority is profits’ and at the cost of human misery blaming often vulnerable people with stupid comments and personal digs as if its their own fault. how this is supposed to help people i dont know.
    the job seekers charter is a false statement along with customer service ideals they like to portray,if anyone else treated their “customers” like that they woulnt have any,the jobseekers agreement isnt worth the paper its written on trampled over at the next advisor meeting as they make up there own rules ticking boxes on their screens that complies with the agreement when the figures of traveling times of 1 hour could not be achieved by public transport.
    i have contempt for all of this complete nonsence and it amounts to little more then bull talk from these people.but thats the way they like it.

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