Fraud probe flags ‘potential’ council tax evasion

An anti-fraud initiative has uncovered four cases of suspected council tax evasion in Orkney.

They were unearthed by the scheme which scans computerised records of 127 public bodies to see how they match up. 

The Orkney cases of “potential fraud” came to light in data newly released by lead agency Audit Scotland, covering 2024/25.

The details from the National Fraud Initiative were publicised at a meeting of Orkney Islands Council’s monitoring and audit committee on Thursday, September 24.

Chief internal auditor Andrew Paterson said two of the cases had not resulted in any loss to the council. These have been referred to the Department of Works and Pensions to check entitlement to Universal Credit payments.

The other two instances involved claims for council tax relief with a combined value of £1,388.33. Mr Paterson said the council is in the process of recovering the money.

“They have opted to pay back so there’s no [criminal] action being taken against them,” he said.

There were also six errors discovered in the council’s Blue Badge disabled parking scheme. These have since been corrected, he said.

The anti-fraud initiative monitors databases of housing benefits, pensions, payroll, council tax, creditors,Blue Badges and housing waiting lists.