Friday 20 May 2011

Landlords Targeted By Electronic Con


This isn't an easy blog entry to write, but our values - being open and honest - require me to share something that others might conceal.

You may or may not already know that THT has been the victim of fraud. I am pretty disgusted that a well organised, criminal gang could target a charitable organisation that works so hard to provide modern, affordable homes for its tenants, some of whom are among the most vulnerable in our society.

I am sorry this has happened. This was tenants' money and, even though the criminals were clever in their approach, its our job to make sure that even the most plausible fraudster doesn't get his hands on their money. We didn't do this as well as we should have done and I'm sorry about that.

We weren’t alone, others in both the public and private sectors have been defrauded in the same way and, yes, we are working to get the money back through the Proceeds of Crime Act. But even if we manage to do this is it will be no consolation.

As soon as the fraud came to light, we acted diligently and took swift action, working with the police and the courts. It was the leads that our action gave to the police that led to the identification, arrest and charging of an individual.

You know we pride ourselves on embracing our values and reflecting them in everything we do. It would have been easy not to tell you about this and to hope you never read or heard about it. But that’s not the THT way. I want to be completely open and honest with you.

Rest assured, we’ve audited our processes and I’ve personally spoken to staff to reinforce the importance of following our procedures.

I need our tenants to know that this will not affect their rents, services or repairs. Our partners and staff need to know it doesn't change in anyway the underlying strength of the organisation and makes no difference whatsoever to this years plans or budgets.

Lessons are often hard learned and this is one of them. I am very angry about it, but this is a case of ‘don't get mad: get even’ and I will channel all that anger into doing everything possible to get the money back.

And for you readers, double check that this could never happen to you.

2 comments:

  1. Mr Peter Barratt21 May 2011 at 14:05

    Interested to read your response following the media reports of the alleged fraud case.

    It seems inconceivable that an organisation would hand over hundreds of thousands of pounds with no checks as to where the money was going to.

    As you say, it is yet another basic lesson for Trafford Housing Trust to learn.

    Obviously, as you take full responsibility for the way the Trust is run, perhaps it is time to consider your position Mr Gardiner?

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  2. Thank-you for your comment and you're absolutely right that there are lessons to be learned from this situation. One of the reasons we're talking about what has happened is to hopefully prevent other organisations from being attacked in the way we were.

    Obviously, the Trust does have stringent checks in place, which is why it was our response that led so quickly to an arrest and charges to be brought before the courts. Other organisations hit by the same fraud don't appear to have reacted so swiftly.

    Unfortunately, as the Police explained we, and others, have been the target of sophisticated criminal activity. We all have something to learn from this and have already implemented the recommendations of an independent report into how we could strengthen our procedures.

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