A - Staff

Bribery Act 2010

The Bribery Act replaced the Prevention of Corruption Acts, 1889 to 1916, with a consolidated scheme of bribery offences. The Act prohibits bribery, or attempted bribery. Bribery includes business kickbacks, corrupt commissions, and other forms of illicit payments to secure business, government or Local Government contracts. It also prohibits payments made to obtain a business advantage. The key provisions of the Act are:

• two general offences covering the offering, promising or giving of an advantage (bribe), and the requesting, agreeing to receive or accepting of an advantage
• a separate offence of bribery of a foreign public official to obtain or retain business or an advantage in the conduct of business
• a new offence of failure by a commercial organisation to prevent a bribe being paid for or on its behalf. It will be a defence if the organisation has “adequate procedures” in place to prevent bribery

Local Government Act 1972 -Section 117(2)

An officer of a local authority may not, as part of his office or employment, accept any gift or reward whatsoever other than his proper remuneration.

B - Elected Members

Local Government Act 2000 and associated regulations

These regulations deal with Councillors’ obligations to declare personal and prejudicial interests, and to register financial and other interests in the Council’s register maintained under section 81 (1) of the Act.

C - General

Fraud is defined in the criminal and civil law and in various disciplinary and regulatory processes. A new offence of fraud was introduced into the UK when the Fraud Act 2006 came into force on 15 January 2007.

The Act should facilitate the investigation and prosecution of fraud. A summary of the Act is included below.

The Fraud Act 2006

The Act creates a general offence of fraud with three ways of committing it:

• fraud by false representation
• fraud by failing to disclose information
• fraud by abuse of position

It also creates new offences:

• obtaining services dishonestly
• possessing, making and supplying articles for use in frauds
• fraudulent trading applicable to non-corporate traders

It is no longer necessary to prove that the victim was deceived; all that is required is to prove that the fraudster was dishonest in their behaviour and that they intended to make a gain for themselves or cause a loss to another.

In civil law, fraud is described as where someone knowingly or recklessly obtains resources to which they are not entitled and this is generally the concept applied where decisions are made about the application of disciplinary or regulatory sanctions.

Prevention of Social Housing Fraud Act 2013

According to government estimates, at least 100,000 social housing properties are the subject of housing fraud. In response to this, the Prevention of Social Housing Fraud Act has been introduced. Tenancy fraud has been made a criminal offence and local authorities have the power to prosecute those who unlawfully sublet their social housing.

The Act applies to secure and assured tenants of Private Registered Providers of Social Housing and Registered Social Landlords, but assured tenancies which are also shared ownership leases are excluded from its provisions.

Criminal offences

The Act creates two new criminal offences. Offences will be committed when:

• the tenant sublets, or parts with possession of, the whole or part of the property, ceases to occupy the property as an only or principal home and does so knowing that to do so is contrary to the express or implied terms of the tenancy; and/or
• the tenant dishonestly and in breach of an express or implied term of the tenancy sublets or parts with possession of the whole or part of the property and ceases to occupy it as his only or principal home

The first offence is the lesser offence and only requires proof of knowledge that the subletting is in breach of their tenancy agreement, while the more serious second offence is committed if the act is done dishonestly.

Other relevant legislation includes the following:

• Proceeds of Crime Act 2002
• Terrorism Act 2000 (TACT)
• Money Laundering, Terrorist Finance and Transfer of Funds Regulations (Information on the Payer) 2017 (Money Laundering Regulations as amended)
• Sanctions & Anti-Money Laundering Act 2018 (and related sanctions regulations)
• Money Laundering And Terrorist Financing (Amendment) Regulations 2019 sets out amendments to the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017
• Economic Crime (Transparency and Enforcement) Act 2023