£10,000 fine for man falsely claiming benefits

Councillor says "benefits are for the needy not the greedy"

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A businessman who defrauded Ealing Council out of nearly £7,000 in housing and council tax benefit has received one of the biggest fines that the council has ever secured for benefit fraud.  

Sayed Hamid, 54, of 18 Cawdor Crescent, was fined £10,000 for his deception at Isleworth Crown Court on 15th October.

The court heard that Mr Hamid had been claiming housing and council tax benefit at Cawdor Crescent, which he actually owned outright with his wife. Mr Hamid also owns a string of other properties across the borough.    

Mr Hamid had lodged benefit claim forms with the council on the basis that he was renting the property by using a bogus landlord. e failed to declare on his benefit forms two other properties, one of which was a café, that he owned in Inglis and Windmill Roads.  

Ealing Council's fraud team discovered that Mr Hamid had been falsely claiming benefit from February to October 2001.   The council applied for compensation for housing benefit of £6,882.77 and costs of £1,065.  

In his defence, the court heard that Mr Hamid expressed remorse for his actions and that he had received misguided advice that to expedite his claim it was better to state he was renting rather then owning.   He also had stated that he was suffering hardship and was about to have his home repossessed.  

He accepted that he had lied on his benefit claim forms and that what he had done was for financial gain.   The court also heard that he was of previous good character.  

Mr Hamid stated he has every intention to re-pay the debt, and has already repaid £800.   The court stated Mr Hamid had deliberately defrauded from the public purse, and fined him £10,000 payable within the next 6 months.   If this were defaulted on then he would face custody.   

The judge also ordered a compensation order of £6,000 and prosecution costs of £1,065.  

Cllr John Cudmore, leader of the council said: �This fine is one of the largest that has been handed out to a fraudster that Ealing Council has taken to court.   It makes clear that benefits are for the needy not the greedy. We won't tolerate anyone who attempts to defraud council taxpayers of public funds that should be spent on services for the community.�

November 11, 2004