enefit cheating and other Scams

I have posted, many times, on this site, about how easy it is to get loads of money in benefits. This has been going on for well over 30 years to my knowledge and nothing is being done about it. Here is how it works........ Take a six bedroom home for example............
A person can set up an arrangement for bed and breakfast, per person at about £100 a week,per person, paid to the landlord. .The regulations allow for three people per room,so this home could have 21 people, supposedly, staying there. That is £2,100 per week. The scam is to get folk to fill in forms,but they don't really live there!!!!  Any inspection must be notified... people are always out seeking work,signing on,visiting friends  blah blah if there is a chance visit.  The landlord is under no obligation to say that a claimer has moved out.!!  No records need be kept. If caught out, they just repay the money and say they did not know about the move.  Now that amounts to over £100,000 per year, per house....Five houses equals half a million per year  for corn flakes,cup of tea and a slice of toast,even if done properly!!!
However, that is chicken feed. ........
Each 'name' can be used to apply for say five credit cards. As the name has no credit defaults, at that address and puts down self employed, with a few clean, bogus, previous addresses, the cards are delivered by post !!!!  They are REAL cards!!!!  No stealing, no cloning, no worries.  So 5 at £1,000 per card is equal to another £100,000 per house or another half million worth using five houses. When the cards are used up, paperwork is marked ' gone away'  End of story....next name, please.
As they use different companies, at different times, with different data, they cannot be correlated
The Voter's roll is available, on the Internet or on display, in libraries.  This provides the names. The telephone book,again on line, matches the name to good area previous addresses. A new entry can be put on the voter's roll, via the Internet. Some card companies have got wise and ask for three years of addresses By putting  down previous addresses, on the credit card application, that is covered.!!!
This all started over thirty years ago. Muslim and other Asian families coming to the UK, having been expelled from various countries,would put down four wives or just four/five relatives. They got loads of money to build up their shops,as a family collective. They, mostly did it legally.
Chinese people have three names, as do many Indians as do Russians. By simply applying, with the three possibilities, they too,made a lot of money, to buy restaurants and take a ways. Believe it or not,at one time, the UK taxman allowed four married person's allowances, to Muslims, one for each wife!!! This has been stopped now. Child benefit is paid to the mother,that is, each mother.
Now the big joke.......
When a credit card goes into default, the company sells on the loss,at a discount, to collectors,who then try to get money.  Here is how this works.....
Default £1,000  sold on for maybe £400.  The £400 is considered as income on the annual accounts BUT the loss of £600 is considered as a deductible loss, against income. This continues down the line. The collector may give up and sell on the £1,000 debt,bought for £400  to another collector for say £200.  So they have paid £400 which is deductible as a buy. They have a paper asset of £1,000 which they sell for £200  They have lost £200 which is also deductible.  All the time that the paper £1,000 is on their books, it is considered an asset. Some companies build up paper assets and then sell the whole company, opening next day in another name!!! If somebody pays them the full £1,000, they pay taxes on the difference between buying price and the £1,000.
Now the really big joke.....
In England, all of the parties can call in the bailiffs, to sell anything worth selling,if they can find the people involved. A name in a bed and breakfast???  You are kidding me on.
If the defaulter lives in Scotland and has dealt with an English company, be they card issuer or collector, then the company, in England, must employ an English lawyer,who in turn must employ a Scottish lawyer to take to Court, in Scotland, a name in a bed and breakfast!!! Even if everything is real and a person, in Scotland, has had to default, all the lawyers still have to be involved!!!  No wonder,card companies just sell the debt on.  This is why interest rates are so high. The good customer is paying the bad debt.!! Now if things go pear shaped, in Scotland, the Sheriff's Officers can be allowed, by the courts, to enter and 'poind' goods to be sold. Prices are normally silly, as the goods will be sold at public auction.  They must inform the folks that they are coming. Many people just move good stuff into a neighbours, on the day of the visit to price the goods or on the day to collect the goods,which again, they are notified about.  The Officers cannot return again and the stuff gets moved back in!!!   This activity can lead to a contempt of court charge, which rarely happens, unless there are big sums involved, as the courts are clogged up!!!  A debtor can sell their stuff, prior to the first visit, for a few pounds and buy it back after the visit!! The really clever ones borrow,say £10 and put up the furniture as security. This saves all the moving!!! The goods cannot be 'poinded' then, as they are considered to be in temporary ownership to the lender of the £10.  This involves paperwork. As long as no interest is charged, no credit dealer's license is required.
It really is a joke!!  All of these scams and dodges have been going on for over 25 years and nothing is being done,whatever.  Oh in case you are beginning to wonder.   nope not me. I was a self employed Accountant  some years ago