Stolen council cheques cashed

Fraudsters have cashed cheques worth £23,000 posted by Oldham Council.

The thefts happened on January 17, when three cheques worth £9,545, £7,601 and £6,070 were cashed at a bank. The council believes they were intercepted in the post. The money has been paid back by the bank they were paid into and now the council is reviewing its use of payments by cheque.

Other anti-fraud measures being discussed are a training package for staff dealing with housing benefit; reviewing the staff whistle-blowing policy, which was published on payslips in December; and reviewing the electoral roll and council tax records for single occupancy.

Before the end of the month they will also encourage the public to become whistleblowers by raising concerns on an email form.

Mark Stenson, head of corporate governance at Oldham Council, said: “We can confirm that these funds have now been paid back to the council by the bank.

“Because fraud through mail interception is an increasing threat to all large organisations, we’re investigating if it’s possible for the council to make more payments through the electronic Bankers’ Automated Clearing Services (BACS) payment system therefore reducing the number of cheques in the postal system.”