0:00:03 > 0:00:05I'm Michelle Ackerley.
0:00:05 > 0:00:07My parents both grew up on council estates
0:00:07 > 0:00:10and as a family, we understand the difference
0:00:10 > 0:00:12social housing can make to people's lives.
0:00:15 > 0:00:17But across the UK, there's a chronic shortage
0:00:17 > 0:00:20of council and housing association homes.
0:00:21 > 0:00:23I know so many friends and so many people
0:00:23 > 0:00:26that just literally don't have anywhere to live.
0:00:26 > 0:00:30Adding to the crisis, some tenants are abusing the system,
0:00:30 > 0:00:34holding on to properties they no longer need, or even worse -
0:00:34 > 0:00:38unlawfully subletting them and coining in a small fortune.
0:00:38 > 0:00:40Subletting social housing is wrong.
0:00:40 > 0:00:43It's wrong. It's illegal and it's wrong.
0:00:43 > 0:00:46So, every day, we'll be with the housing investigators
0:00:46 > 0:00:49as they crack down on those rogue tenants...
0:00:49 > 0:00:51- County Court bailiffs! - DRILL WHIRS
0:00:51 > 0:00:53..reclaim properties...
0:00:53 > 0:00:54Anybody in?
0:00:54 > 0:00:58..and give them to families in genuine need.
0:00:58 > 0:00:59All of those keys are yours.
0:01:00 > 0:01:03Aw, don't, cos you'll start me off again.
0:01:04 > 0:01:07This is Council House Crackdown.
0:01:07 > 0:01:10Our reporter, property expert Luke Doonan,
0:01:10 > 0:01:14also grew up on a council estate, and for the last six months,
0:01:14 > 0:01:18he's been working alongside dedicated housing investigators
0:01:18 > 0:01:19who will stop at nothing
0:01:19 > 0:01:23to track down every single tenant who's abusing the system.
0:01:24 > 0:01:27- Today...- Hello. It's Family Mosaic. Can you open the door, please?
0:01:27 > 0:01:31..tracking down the tenant who's netting a grand a month
0:01:31 > 0:01:32in a subletting scam.
0:01:32 > 0:01:36It's unusual to find evidence so concrete.
0:01:36 > 0:01:40The man who tried to buy his council flat totally gutted it,
0:01:40 > 0:01:41then seemed to disappear.
0:01:41 > 0:01:44When we got in there, the total shock.
0:01:44 > 0:01:47The property was completely gutted out.
0:01:47 > 0:01:50And on the trail of the high roller
0:01:50 > 0:01:51who should've been living here,
0:01:51 > 0:01:54but was actually living here.
0:01:54 > 0:01:55So I served a notice to quit
0:01:55 > 0:01:59and that was sent to Las Vegas and hand-delivered to this property.
0:02:03 > 0:02:06Councils and housing associations have a number of weapons
0:02:06 > 0:02:10in their armouries in the battle to clamp down on tenancy cheats.
0:02:10 > 0:02:14The Prevention Of Social Housing Fraud Act gives councils powers
0:02:14 > 0:02:18to requisition documents and see into bank accounts.
0:02:18 > 0:02:21But another valuable tool in finding the information
0:02:21 > 0:02:24to crack down on fraudsters is the internet.
0:02:24 > 0:02:27Social media sites make it easy
0:02:27 > 0:02:29for investigators to find out personal details,
0:02:29 > 0:02:32such as where people live and work.
0:02:32 > 0:02:33And in many cases,
0:02:33 > 0:02:35tenancy cheats advertise
0:02:35 > 0:02:37their social housing properties
0:02:37 > 0:02:38to rent online,
0:02:38 > 0:02:40which can provide investigators
0:02:40 > 0:02:42with their big breakthrough.
0:02:42 > 0:02:44Today, we're joining housing investigators
0:02:44 > 0:02:48on the trail of a woman who's been brazenly advertising
0:02:48 > 0:02:51her social housing property on the internet
0:02:51 > 0:02:54and pocketing up to £1,000 a month.
0:02:55 > 0:02:59We're not naming the tenant, because it's an ongoing investigation,
0:02:59 > 0:03:01but this is where she lives -
0:03:01 > 0:03:05a two-bedroom social housing property in Peckham, South London.
0:03:05 > 0:03:09Or at least this is where she's supposed to be living.
0:03:09 > 0:03:11In fact, she's been advertising her flat for rent
0:03:11 > 0:03:15and charging £500 a month for each room.
0:03:15 > 0:03:17All strictly illegal.
0:03:19 > 0:03:23The flat is managed by housing association Family Mosaic,
0:03:23 > 0:03:27where Carly Foley works as a tenancy fraud investigator.
0:03:27 > 0:03:29She first got wind there was a possible fraud going on
0:03:29 > 0:03:31when a neighbour contacted her.
0:03:31 > 0:03:35She began to build up evidence that the tenant was subletting.
0:03:35 > 0:03:38The case that I've been working on quite a lot,
0:03:38 > 0:03:42we've got some good evidence that the property has been sublet.
0:03:43 > 0:03:47Family Mosaic have 19 properties in this block of flats.
0:03:47 > 0:03:49One of the first things Carly did
0:03:49 > 0:03:52was to simply search the address online.
0:03:52 > 0:03:55She was astonished to find an advert for the flat.
0:03:55 > 0:03:58Literally I just googled the postcode of the block
0:03:58 > 0:04:01and it came up with the website.
0:04:01 > 0:04:05The advert here is for two double rooms.
0:04:05 > 0:04:07It's a two-bedroom property,
0:04:07 > 0:04:10so that indicates that the property has been sublet as a whole
0:04:10 > 0:04:13as there are two rooms available to rent, so that would suggest
0:04:13 > 0:04:17that our resident isn't actually residing at the property.
0:04:17 > 0:04:22You can see that the rooms are available for £500 per month.
0:04:22 > 0:04:25It also gives you who it's advertised by,
0:04:25 > 0:04:30which is my tenant's name, her age and her nationality.
0:04:30 > 0:04:32She's actually used her real name,
0:04:32 > 0:04:36which is why it was so easily found on the internet searches.
0:04:36 > 0:04:40Carly is shocked by how brazen this tenant has been.
0:04:40 > 0:04:44It's unusual to find evidence so concrete.
0:04:44 > 0:04:48Most people don't put all of the information onto the internet
0:04:48 > 0:04:54as they know that that is a tool that is used by investigators.
0:04:54 > 0:04:56Investigators often work in twos,
0:04:56 > 0:05:00and today, Carly has enlisted the support of colleague Dominic Howard.
0:05:02 > 0:05:04I'm going to be working with Dominic today.
0:05:04 > 0:05:08Sometimes it's really nice to have two of us out on these jobs.
0:05:08 > 0:05:10One person can be your eyes.
0:05:10 > 0:05:12You know, it's good to have a look around the property
0:05:12 > 0:05:15while the other person is engaging in conversation,
0:05:15 > 0:05:17taking notes and things like that.
0:05:17 > 0:05:19I need to tell you about today,
0:05:19 > 0:05:20so shall we go and have a quick meeting?
0:05:20 > 0:05:22Yeah, let's go into the meeting room.
0:05:22 > 0:05:24They're planning to visit the flat.
0:05:24 > 0:05:25Before heading out,
0:05:25 > 0:05:28Carly brings Dominic up to speed with events.
0:05:29 > 0:05:34So, today, I need to serve notice to quit and notice seeking possession.
0:05:34 > 0:05:38I visited the property on the 15th of September.
0:05:38 > 0:05:41I heard people inside speaking Spanish.
0:05:41 > 0:05:44They refused to open the door to me.
0:05:44 > 0:05:46There was some unopened mail
0:05:46 > 0:05:49that was addressed as well to the resident.
0:05:49 > 0:05:52Unopened mail can be one of the telltale signs
0:05:52 > 0:05:54that a tenant isn't living there.
0:05:54 > 0:05:57I've given the resident opportunities to meet with me.
0:05:57 > 0:06:01- She's not attended any of the appointments.- OK.
0:06:01 > 0:06:02I've got no other option now
0:06:02 > 0:06:06but to serve the notice seeking possession and the notice to quit.
0:06:06 > 0:06:09The tenant is paying £500 a month rent,
0:06:09 > 0:06:11but according to the online advert,
0:06:11 > 0:06:14the amount subtenants are being charged is twice that.
0:06:14 > 0:06:19So, her current rent is £500 a month and she's charging £1,000 a month,
0:06:19 > 0:06:22so she's pocketing £500 a month.
0:06:22 > 0:06:24Actually, she's on Housing Benefit,
0:06:24 > 0:06:27so Housing Benefit are paying full rent,
0:06:27 > 0:06:30so she's actually pocketing the full £1,000.
0:06:30 > 0:06:33- Shall we make a move then? - Yeah, let's do it.
0:06:34 > 0:06:36Carly and Dominic are off to the flat
0:06:36 > 0:06:38to start the process to get it back.
0:06:40 > 0:06:43So, the priority for when we come across a case where
0:06:43 > 0:06:45we definitely are able to prove sublet
0:06:45 > 0:06:49is that we can recover the property back quickly
0:06:49 > 0:06:52with least costs to Family Mosaic.
0:06:52 > 0:06:55Going to court is a very expensive process.
0:06:55 > 0:06:59Ideally, it's better if the person can relinquish their tenancy,
0:06:59 > 0:07:01which means we're able to then offer that property
0:07:01 > 0:07:05back to the local authority for all the other many families
0:07:05 > 0:07:07and people that are wanting social housing
0:07:07 > 0:07:10and have been following the correct procedures.
0:07:11 > 0:07:15When I come across cases like this, I do find it frustrating,
0:07:15 > 0:07:20but that's what drives me to take an interest in tenancy fraud
0:07:20 > 0:07:22and do the work that I do.
0:07:25 > 0:07:29Carly and Dominic arrive at the block of flats in Peckham.
0:07:29 > 0:07:33They have no idea what to expect when they knock on the door.
0:07:33 > 0:07:36So, this is Lords Court.
0:07:38 > 0:07:40Last time Carly visited this flat,
0:07:40 > 0:07:43she could hear suspected subtenants inside,
0:07:43 > 0:07:45but no-one would come to the door.
0:07:55 > 0:07:58I don't think anybody's here. Usually you can hear voices.
0:07:58 > 0:08:00SHE KNOCKS
0:08:00 > 0:08:04Hello. It's Family Mosaic. Can you open the door, please?
0:08:05 > 0:08:10- I can't hear anything. - No. I don't think anybody's home.
0:08:10 > 0:08:12As nobody is in for me to hand-deliver the notice,
0:08:12 > 0:08:15I'm having to serve it at the property,
0:08:15 > 0:08:19so I'm going to secure it to the front door and take a picture
0:08:19 > 0:08:21and then for our records that will show that the document
0:08:21 > 0:08:23has been served successfully.
0:08:25 > 0:08:29The residents have four weeks from date of service
0:08:29 > 0:08:32at which to respond to Family Mosaic.
0:08:32 > 0:08:34What I will then be doing
0:08:34 > 0:08:36if I haven't had any contact from the resident,
0:08:36 > 0:08:40I will be referring the case to Family Mosaic's legal team
0:08:40 > 0:08:45in order to start court proceedings to commence...
0:08:45 > 0:08:47for possession of the property.
0:08:49 > 0:08:51And then I just have to take a picture
0:08:51 > 0:08:56to show to the judge the document has been hand-delivered
0:08:56 > 0:08:58to the property.
0:08:58 > 0:09:00OK. Let's go.
0:09:05 > 0:09:08Ideally, I would've liked to have met with the resident
0:09:08 > 0:09:11and actually completed the occupancy check, got inside,
0:09:11 > 0:09:12had a look at the property.
0:09:12 > 0:09:14Unfortunately, I wasn't able to do that today,
0:09:14 > 0:09:16but the documents have been served.
0:09:16 > 0:09:19The tenant failed to respond to the notice to quit,
0:09:19 > 0:09:24so Family Mosaic are now seeking a possession order.
0:09:24 > 0:09:26They're well on the way to getting this flat back,
0:09:26 > 0:09:29so they can give it to someone who really needs it.
0:09:32 > 0:09:34Council tenants should not be subletting their homes,
0:09:34 > 0:09:36that is classified as fraud.
0:09:36 > 0:09:38Well, I've never considered subletting my place,
0:09:38 > 0:09:41because it is just basically totally against the law.
0:09:41 > 0:09:45If someone is caught subletting, take the property off them.
0:09:45 > 0:09:46Simple as that.
0:09:46 > 0:09:48You know, there's no point going down all these routes
0:09:48 > 0:09:50of a fine on this and a penalty for that.
0:09:50 > 0:09:52Just take it off them.
0:09:55 > 0:09:58It may seem obvious, but if you're given a council house
0:09:58 > 0:10:01it's important that it's your main place of residence
0:10:01 > 0:10:04and that you actually live in it most of the time.
0:10:04 > 0:10:07If you no longer need it, you give it back.
0:10:07 > 0:10:09Of course, if you're a council tenant,
0:10:09 > 0:10:11you can go on holiday,
0:10:11 > 0:10:14but if you're going to be away for more than six weeks,
0:10:14 > 0:10:17then you need to inform your housing officer.
0:10:17 > 0:10:21And anything more than 13 weeks and you need formal permission,
0:10:21 > 0:10:25which is granted on a case-by-case basis.
0:10:26 > 0:10:30Our next case takes us to Oxford and this one-bedroom flat
0:10:30 > 0:10:32where one council tenant had his home,
0:10:32 > 0:10:34or at least it should be his home.
0:10:36 > 0:10:39In fact, last year he spent more than five months
0:10:39 > 0:10:43living here in beautiful Thailand.
0:10:43 > 0:10:46He didn't tell anyone from the council he was going,
0:10:46 > 0:10:50and while he was away he unlawfully sublet his flat.
0:10:50 > 0:10:54But the subtenants didn't pay the rent they'd agreed,
0:10:54 > 0:10:56and when the official tenant got back to Oxford,
0:10:56 > 0:11:01he went into the council offices, of all places, to complain.
0:11:01 > 0:11:04Housing investigator Dan Barker was put on the case.
0:11:04 > 0:11:0812 months ago, the tenant presented himself to the council offices,
0:11:08 > 0:11:11saying that some tenants he'd had in his property hadn't paid him
0:11:11 > 0:11:12the full amount of rent.
0:11:12 > 0:11:14Yes, you did hear that right.
0:11:14 > 0:11:16The tenant came into the council
0:11:16 > 0:11:22to complain that someone he'd sublet his flat to hadn't paid his rent.
0:11:22 > 0:11:24Fortunately, the customer services officer
0:11:24 > 0:11:25who dealt with him at the time
0:11:25 > 0:11:27realised the property was a council property
0:11:27 > 0:11:29and contacted the investigations team,
0:11:29 > 0:11:32at which point, I came down and spoke to the tenant.
0:11:32 > 0:11:35The tenant proceeded to tell Dan the whole story.
0:11:35 > 0:11:38He said that he'd been out of the country for five months
0:11:38 > 0:11:39and that while he'd been away
0:11:39 > 0:11:42he'd been subletting the property and the tenants hadn't paid him
0:11:42 > 0:11:44the full amount of rent that had been agreed.
0:11:44 > 0:11:46At that point, I cautioned him.
0:11:46 > 0:11:47I realised he'd committed an offence
0:11:47 > 0:11:50and asked him to come back at a later date for a formal interview.
0:11:52 > 0:11:53At the formal interview,
0:11:53 > 0:11:55the tenant admitted he'd been in Thailand
0:11:55 > 0:11:59for more than five months, visiting his girlfriend who lived there.
0:11:59 > 0:12:02Obviously, our tenants are allowed to take holidays.
0:12:02 > 0:12:04However, they have to let us know if they're going away
0:12:04 > 0:12:05for more than six weeks,
0:12:05 > 0:12:07and they have to ask our permission
0:12:07 > 0:12:09if they intend to be away for more than 13 weeks.
0:12:09 > 0:12:12In this case, the tenant was away for five months.
0:12:12 > 0:12:15And all that time, this one-bed property that the official tenant
0:12:15 > 0:12:18should've been living in was being sublet
0:12:18 > 0:12:20for nearly 100 a week.
0:12:20 > 0:12:24Not only that, but he was also being paid full housing benefit.
0:12:24 > 0:12:26So, whatever money he got from unlawfully subletting
0:12:26 > 0:12:29went straight into his pocket.
0:12:29 > 0:12:33He didn't seem to really grasp the repercussions of his actions.
0:12:33 > 0:12:36I don't think he fully understood that leaving
0:12:36 > 0:12:39the property for such a period and having subtenants
0:12:39 > 0:12:43was against his tenancy and potentially a criminal offence.
0:12:43 > 0:12:46Then there was one final twist in the tale.
0:12:46 > 0:12:48Council records showed the subtenants who were
0:12:48 > 0:12:51evicted by the official tenant when he got back from Thailand
0:12:51 > 0:12:55had been to the council to declare themselves homeless.
0:12:55 > 0:12:57They gave their previous address
0:12:57 > 0:13:00as none other than the official tenant's flat.
0:13:00 > 0:13:03It was the final confirmation, if they needed it,
0:13:03 > 0:13:05that the tenant had been subletting.
0:13:05 > 0:13:09Dan started legal proceedings to get the flat back.
0:13:09 > 0:13:10We served notice to quit
0:13:10 > 0:13:12and notice seeking possession on the tenant,
0:13:12 > 0:13:17which gave him four weeks before the tenancy was terminated.
0:13:17 > 0:13:19At the end of those four weeks,
0:13:19 > 0:13:23the council went to court and was granted a possession order.
0:13:23 > 0:13:28The tenant didn't contest the order and today, he's going to be evicted.
0:13:28 > 0:13:29So, the bailiff and the locksmiths
0:13:29 > 0:13:31have gone up to conduct the eviction.
0:13:31 > 0:13:34They've also gone with one of tenancy management officers
0:13:34 > 0:13:36in case the tenant is still in the property
0:13:36 > 0:13:39to make sure that he's OK and that the process runs smoothly.
0:13:39 > 0:13:41Once that's been finished,
0:13:41 > 0:13:43I will then join them and conduct the audit
0:13:43 > 0:13:45of the property in terms of recording any possessions
0:13:45 > 0:13:47that are left behind by the tenant,
0:13:47 > 0:13:49so they can be returned to him at a later date.
0:13:55 > 0:13:56The flat is empty.
0:13:56 > 0:13:59No-one is at home and Dan is given the all-clear to enter.
0:14:00 > 0:14:03We've come to the property and the tenant has not been at home.
0:14:03 > 0:14:05There's still quite a few of his possessions here,
0:14:05 > 0:14:08so I'm just documenting everything that he's left behind.
0:14:08 > 0:14:10So, once it goes into storage,
0:14:10 > 0:14:12we can arrange for it to be returned to him
0:14:12 > 0:14:13and we have an accurate record
0:14:13 > 0:14:15of what was left behind at the property.
0:14:15 > 0:14:18So, the property is actually in a fairly reasonable condition.
0:14:18 > 0:14:23It's fairly clean and it appears to be in a pretty good state of repair.
0:14:23 > 0:14:25I don't imagine it's going to be an awful lot of work
0:14:25 > 0:14:29that the voids team need to do to get this ready for re-letting.
0:14:29 > 0:14:31I imagine it'll be a fairly quick turnaround
0:14:31 > 0:14:33and could be back on the market within two weeks.
0:14:33 > 0:14:36Getting the property back is excellent news,
0:14:36 > 0:14:39but an eviction attended by a locksmith and bailiff
0:14:39 > 0:14:41costs around £1,000,
0:14:41 > 0:14:44and in this case, that's an expense that could've been avoided.
0:14:44 > 0:14:46Judging from the post that was on the floor,
0:14:46 > 0:14:47he's been gone at least two weeks.
0:14:47 > 0:14:50You know, he could've just handed his keys into the council
0:14:50 > 0:14:53and then we could've saved the costs of having a bailiff
0:14:53 > 0:14:56and all the extra people involved, a locksmith.
0:14:56 > 0:15:00If he'd come to the council and handed his keys in,
0:15:00 > 0:15:02we could've had the property re-let by now.
0:15:05 > 0:15:08But at least now he has the keys back.
0:15:08 > 0:15:10And as for the ex-tenant of this property,
0:15:10 > 0:15:13he's free to spend as much time in Thailand as he likes.
0:15:15 > 0:15:19I think if they're obviously in a position to move abroad,
0:15:19 > 0:15:22obviously financially they must be pretty stable
0:15:22 > 0:15:24to be able to move abroad, live abroad
0:15:24 > 0:15:25and sustain a house here,
0:15:25 > 0:15:28cos obviously they'll still have maybe, you know, a few bills
0:15:28 > 0:15:29or whatever to pay.
0:15:29 > 0:15:31From that point of view, I think it's unfair.
0:15:31 > 0:15:34I think if people move out of the UK and keep their house,
0:15:34 > 0:15:37it's a real problem at the moment, because of the high demand.
0:15:37 > 0:15:39If someone's going to spend six months of the year
0:15:39 > 0:15:40in another country,
0:15:40 > 0:15:42then they shouldn't have a social housing flat.
0:15:42 > 0:15:44That's crazy, you know,
0:15:44 > 0:15:47when you've got someone around the corner who's desperate
0:15:47 > 0:15:49for somewhere to live, you know.
0:15:49 > 0:15:53It's tough times, so people should...
0:15:53 > 0:15:54They should...
0:15:54 > 0:15:56They should only have a flat if it's going to be their main home.
0:16:00 > 0:16:04Britain's social housing stock is a precious resource.
0:16:04 > 0:16:06People who live in social housing
0:16:06 > 0:16:08have the privilege of reasonable rents,
0:16:08 > 0:16:11but they also have responsibilities too.
0:16:11 > 0:16:13Obviously, they have to pay the rent on time,
0:16:13 > 0:16:15look after the place properly
0:16:15 > 0:16:19and first and foremost, live in it as their primary home.
0:16:19 > 0:16:21But they also need to seek permission
0:16:21 > 0:16:26to spend time away or to make any major changes to the properties.
0:16:26 > 0:16:29In Burnley, Lancashire, two housing association tenants
0:16:29 > 0:16:32were evicted after seriously damaging their property -
0:16:32 > 0:16:36going as far as removing the copper pipework and boiler
0:16:36 > 0:16:39to sell on to a scrap metal dealer.
0:16:39 > 0:16:40The pair received
0:16:40 > 0:16:42six-month community orders
0:16:42 > 0:16:43and were ordered
0:16:43 > 0:16:45to pay compensation.
0:16:46 > 0:16:50Next, we follow the mysterious case of a man who first
0:16:50 > 0:16:52couldn't pay his rent,
0:16:52 > 0:16:55then put in a bid to buy his property, gutted it
0:16:55 > 0:16:59and then finally seemed to disappear altogether.
0:17:00 > 0:17:02Although this man didn't commit tenancy fraud,
0:17:02 > 0:17:07he flouted all the basic rules of his tenancy agreement.
0:17:07 > 0:17:10In 2007, he moved into a very nice flat
0:17:10 > 0:17:14in a lovely part of Clapham, South London.
0:17:14 > 0:17:15Seven years later,
0:17:15 > 0:17:19he applied to buy his flat under the council's Right to Buy scheme.
0:17:19 > 0:17:22The Right to Buy scheme can allow tenants
0:17:22 > 0:17:25up to approximately £100,000 discount on the price
0:17:25 > 0:17:27of their social housing property.
0:17:27 > 0:17:29Because of the huge amounts involved,
0:17:29 > 0:17:33councils keep a close eye on these transactions.
0:17:33 > 0:17:36The local council in this case, Lambeth,
0:17:36 > 0:17:40routinely investigates every Right to Buy application
0:17:40 > 0:17:42as part of its crackdown on fraud,
0:17:42 > 0:17:44so investigator Pamela Esiso
0:17:44 > 0:17:47was given this man's application to look into.
0:17:47 > 0:17:51She immediately noticed that the tenant had financial problems.
0:17:51 > 0:17:54When I started looking at the property,
0:17:54 > 0:17:57I noted that the tenant had come to the area housing office
0:17:57 > 0:18:00stating that he couldn't afford the rent
0:18:00 > 0:18:01and he wanted to give up the property.
0:18:01 > 0:18:05The area office said to him to think about it and come back,
0:18:05 > 0:18:07but he needed to give four weeks' notice.
0:18:07 > 0:18:11So, he went away and didn't come back after that.
0:18:11 > 0:18:14A few months later, he puts in a Right to Buy.
0:18:14 > 0:18:17Financial problems can happen to anyone,
0:18:17 > 0:18:18but Pam was concerned
0:18:18 > 0:18:20that if her tenant had difficulty paying his rent
0:18:20 > 0:18:23he would also have difficulty paying a mortgage,
0:18:23 > 0:18:26which would be considerably more expensive.
0:18:26 > 0:18:29I carried out background checks on the tenant,
0:18:29 > 0:18:33found that he was in financial difficulties.
0:18:33 > 0:18:35He could barely afford his rent.
0:18:35 > 0:18:37You know, from what I saw in the bank statements,
0:18:37 > 0:18:41I didn't think he would afford a property of 400,000.
0:18:41 > 0:18:43So, Pam started to dig deeper,
0:18:43 > 0:18:47including looking at the tenant's online presence.
0:18:47 > 0:18:50She discovered that he described himself as psychic
0:18:50 > 0:18:55and also that he was looking into property investment.
0:18:55 > 0:18:59He was also by this time in considerable rent arrears,
0:18:59 > 0:19:02so Pam decided to pay her tenant an unannounced visit,
0:19:02 > 0:19:04but he wasn't at home.
0:19:04 > 0:19:06I went to the property,
0:19:06 > 0:19:10I knocked on the door and a chap who didn't fit the profile
0:19:10 > 0:19:13of the tenant opened the door.
0:19:13 > 0:19:17I knew the tenant was French. We had a copy of his passport.
0:19:17 > 0:19:19When I got there, I saw a different person. I saw a black male.
0:19:19 > 0:19:22I asked when the tenant would be back.
0:19:22 > 0:19:24He said, "Oh, probably the weekend."
0:19:24 > 0:19:27And you know, just following on from that visit,
0:19:27 > 0:19:31the suspicions had been raised yet again.
0:19:32 > 0:19:33Pam spoke to a neighbour who told her
0:19:33 > 0:19:36the tenant was no longer living there.
0:19:36 > 0:19:38If you have a council tenancy,
0:19:38 > 0:19:42part of the agreement is it has to be your primary home.
0:19:42 > 0:19:44So, Pam called round a second time,
0:19:44 > 0:19:48and this time she was amazed to be confronted
0:19:48 > 0:19:50by a demolition site.
0:19:50 > 0:19:53When we got there, the door was open and we walked in.
0:19:53 > 0:19:55So, we didn't have to knock.
0:19:55 > 0:19:58And we got in there, the total shock to me
0:19:58 > 0:20:01of a big difference from when I saw it the last time.
0:20:01 > 0:20:04I took photographs of what was going on.
0:20:04 > 0:20:08The property was being refurbished. Completely gutted out.
0:20:08 > 0:20:11There were lots of workmen. Everything was taken down.
0:20:11 > 0:20:15The plumbing was being redone, the radiators.
0:20:15 > 0:20:18The whole property was being refurbished.
0:20:18 > 0:20:19At this point,
0:20:19 > 0:20:22his Right to Buy application was still being assessed.
0:20:22 > 0:20:24As he was still a council tenant,
0:20:24 > 0:20:27any substantial work on a council property
0:20:27 > 0:20:29has to be authorised upfront.
0:20:29 > 0:20:31For council tenants,
0:20:31 > 0:20:34you have to ask for permission when you carry out improvements.
0:20:34 > 0:20:37It's part of your tenancy condition. And I had looked on the file.
0:20:37 > 0:20:41There was nothing relating to refurbishments
0:20:41 > 0:20:44or the request for authorisation.
0:20:44 > 0:20:48Pam made further visits but never found the tenant in.
0:20:48 > 0:20:50By now, Pam had amassed enough evidence
0:20:50 > 0:20:53to evict the tenant for breaching his tenancy agreement
0:20:53 > 0:20:56and serve a notice to quit.
0:20:56 > 0:21:01Based on the evidence I had, I called up the area office
0:21:01 > 0:21:06and requested they serve a notice immediately.
0:21:06 > 0:21:08The notice to quit is the first step
0:21:08 > 0:21:10in the process to get a property back.
0:21:10 > 0:21:16In addition, Pam put an urgent stop on the Right to Buy application.
0:21:16 > 0:21:19So, this morning, Luke is joining Pam's colleague,
0:21:19 > 0:21:22tenancy enforcement officer Earl Lee.
0:21:23 > 0:21:25Earl is about to serve the notice to quit
0:21:25 > 0:21:28- at the council flat. - Are you OK?
0:21:28 > 0:21:30We're here today to serve notice on a tenant
0:21:30 > 0:21:32who lives around the corner.
0:21:32 > 0:21:35This is not the first time I've done this. We do this quite often.
0:21:35 > 0:21:37But it's always nerve-racking, as I'm sure you'll appreciate.
0:21:37 > 0:21:39We never know what's going to happen.
0:21:39 > 0:21:42Serving eviction notices can be a tricky business.
0:21:42 > 0:21:45I've had situations where I've been threatened, water thrown at me.
0:21:45 > 0:21:47Could, of course, be a situation that no-one's there.
0:21:47 > 0:21:51If that's the case, then I just serve the notice on the property.
0:21:51 > 0:21:53But there's nothing to indicate there'll be a problem today.
0:22:25 > 0:22:29- Hello. Mr- BLEEP, - I am from the council.
0:22:29 > 0:22:32The door is opened by a man who does not fit the tenant's description,
0:22:32 > 0:22:34and says he's a workman.
0:22:34 > 0:22:38OK. Who's the occupier?
0:22:38 > 0:22:41He tells the investigator that the tenant is not there,
0:22:41 > 0:22:43that he doesn't know who the tenant is
0:22:43 > 0:22:46and that, in fact, nobody is in occupation.
0:22:46 > 0:22:47OK.
0:22:47 > 0:22:50I just need to leave those for the person who should be living here.
0:22:50 > 0:22:53He does however accept the paperwork.
0:22:53 > 0:22:55- I'll just leave those for Mr- BLEEP.
0:22:55 > 0:22:57Thank you. Bye.
0:23:00 > 0:23:03This gentleman is not known to us, but he does fit the description
0:23:03 > 0:23:05of someone who has been seen at the property
0:23:05 > 0:23:06by one of my colleagues before.
0:23:06 > 0:23:09But he's certainly not the official tenant.
0:23:09 > 0:23:15Now the tenant has 28 days to respond to the notice to quit.
0:23:15 > 0:23:16He can do one of two things.
0:23:16 > 0:23:19He can either give up possession of the property
0:23:19 > 0:23:20or he can seek legal advice.
0:23:20 > 0:23:23We will take that time to prepare a case,
0:23:23 > 0:23:25which will then be preceded through courts.
0:23:25 > 0:23:28So, you're going to take this one all the way to the end, as it were?
0:23:28 > 0:23:30- Absolutely. It's our intention to do so.- OK.
0:23:32 > 0:23:34Two months later, the tenant was evicted
0:23:34 > 0:23:37and the council are pursuing the rent arrears.
0:23:39 > 0:23:41As a result of this investigation,
0:23:41 > 0:23:43Lambeth have got one more council flat back
0:23:43 > 0:23:48and have allocated it to someone on their waiting list.
0:23:48 > 0:23:49As for the tenant, well,
0:23:49 > 0:23:52I don't think he saw that one coming.
0:23:55 > 0:23:57I think social housing is a really good thing.
0:23:57 > 0:24:00It's important for the country and it's certainly important
0:24:00 > 0:24:02for the people that definitely need this.
0:24:02 > 0:24:05It's something that I think especially families need,
0:24:05 > 0:24:07certainly across the capital and across the country.
0:24:07 > 0:24:08Well, I think it's essential,
0:24:08 > 0:24:11especially in a city like London where, you know,
0:24:11 > 0:24:12housing is such a problem.
0:24:12 > 0:24:15And I think it's really important it goes to the right people.
0:24:15 > 0:24:17I think social housing is good,
0:24:17 > 0:24:19because when people don't have a lot of money,
0:24:19 > 0:24:22it helps them out and it gives them a bit of confidence.
0:24:22 > 0:24:24Yeah. And if it wasn't there,
0:24:24 > 0:24:27then we'd have a lot bigger problem than we have now with housing.
0:24:31 > 0:24:35There are several different types of fraud tenancy cheats can employ.
0:24:35 > 0:24:38One is succession fraud.
0:24:38 > 0:24:42Succession is the legal term used for when a person inherits a tenancy
0:24:42 > 0:24:46from a close relative, usually a parent, who has died.
0:24:46 > 0:24:49To make a succession claim, a person must be eligible,
0:24:49 > 0:24:52and that means they must have been living with a tenant
0:24:52 > 0:24:54at the time of their death,
0:24:54 > 0:24:55or if the tenancy started
0:24:55 > 0:24:56before April 2012,
0:24:56 > 0:24:59for at least 12 months previously.
0:24:59 > 0:25:01In Hammersmith, West London,
0:25:01 > 0:25:04a man applied for succession rights to inherit his father's flat,
0:25:04 > 0:25:08claiming that he was living with his father at the time of his death.
0:25:08 > 0:25:11The case was passed on to the council's antifraud service
0:25:11 > 0:25:14and extensive checks revealed the man was actually living
0:25:14 > 0:25:18in one of his mother's properties at the time.
0:25:18 > 0:25:19The flat was returned
0:25:19 > 0:25:20to the council.
0:25:22 > 0:25:25Next, the case of a man who falsely claimed
0:25:25 > 0:25:28he was entitled to inherit his late mother's flat,
0:25:28 > 0:25:31and then when the claim was rejected,
0:25:31 > 0:25:32he took the case to court.
0:25:33 > 0:25:36Following the death of the elderly tenant of a flat in Balham,
0:25:36 > 0:25:39South London, the tenant's son came forward
0:25:39 > 0:25:42to make a succession claim on the property.
0:25:42 > 0:25:46He told investigators he'd been living in this ground-floor flat
0:25:46 > 0:25:48with his mother for over a year,
0:25:48 > 0:25:52even though the flat only had one bedroom.
0:25:52 > 0:25:55Luke joins Viridian Housing Association investigator Gemma
0:25:55 > 0:25:57who's been looking into the case.
0:25:57 > 0:25:59She doesn't wish to be identified.
0:26:00 > 0:26:03We ask every claim that comes in for succession
0:26:03 > 0:26:05to be referred over to us, so we can look at
0:26:05 > 0:26:07whether it's a legitimate claim.
0:26:07 > 0:26:10What we do is check whether someone has been residing
0:26:10 > 0:26:13at the property for the last 12 months.
0:26:14 > 0:26:17There's a big demand for one-bedroom ground-floor flats,
0:26:17 > 0:26:21like the one the tenant's son wanted to inherit in Balham.
0:26:21 > 0:26:25It's worth around £400,000 on the open market.
0:26:25 > 0:26:28This is a really nice road, isn't it?
0:26:28 > 0:26:29- It is.- It's really lovely.
0:26:32 > 0:26:33So, this is it.
0:26:33 > 0:26:37I've seen a lot of social housing properties over the years, loads.
0:26:37 > 0:26:40This is absolutely stunning.
0:26:40 > 0:26:44When the elderly woman who lived here died in 2014,
0:26:44 > 0:26:47her son contacted the housing association.
0:26:47 > 0:26:51He came to you and asked if he could take over the tenancy?
0:26:51 > 0:26:54He came to us and said that, "I would like to succeed the tenancy
0:26:54 > 0:26:58"because I was living here and had been a resident with my mother."
0:26:58 > 0:27:01Gemma was immediately suspicious,
0:27:01 > 0:27:04because this was a one-bedroom property.
0:27:04 > 0:27:08The son claimed he'd been sleeping on a sofa bed in the living room,
0:27:08 > 0:27:12but Gemma decided to make some more inquiries.
0:27:12 > 0:27:14First, she asked him for proof
0:27:14 > 0:27:16that he'd been living at his mother's address.
0:27:16 > 0:27:18He did supply some evidence,
0:27:18 > 0:27:20but when we looked at it in more detail
0:27:20 > 0:27:23we realised that he was providing letters
0:27:23 > 0:27:25- that didn't even relate to him. - Right.
0:27:25 > 0:27:27- Strange.- They were out... - Very strange.
0:27:27 > 0:27:28I mean, it was so obvious.
0:27:28 > 0:27:32And also letters that weren't for the time that we'd requested either.
0:27:32 > 0:27:34- OK.- So, although he supplied lots of information,
0:27:34 > 0:27:38it wasn't actual evidence that proved that he was resident
0:27:38 > 0:27:40for the last 12 months there.
0:27:40 > 0:27:42Unsatisfied with his response,
0:27:42 > 0:27:45Gemma started researching the succession claimant.
0:27:45 > 0:27:46Although he had recently changed
0:27:46 > 0:27:49some of his bills over to his mother's address,
0:27:49 > 0:27:51Gemma discovered the bulk of his correspondence
0:27:51 > 0:27:55was associated with two other addresses in North London.
0:27:55 > 0:27:58We found lots of evidence pointing him
0:27:58 > 0:28:01to a different address completely, or two different addresses.
0:28:01 > 0:28:04- Not even in our area. It was in North London.- OK.
0:28:04 > 0:28:08And one of those addresses was of particular interest.
0:28:08 > 0:28:12We did searches and found that he was linked to this other address
0:28:12 > 0:28:14more than he was linked to our tenant's property.
0:28:14 > 0:28:17- OK. - He was on the council tax register.
0:28:17 > 0:28:21He was also on the electoral registries.
0:28:21 > 0:28:25In fact, the electoral register showed the succession claimant
0:28:25 > 0:28:28had been living with a woman thought to be his partner in North London
0:28:28 > 0:28:33and not his mother in South London for the last three years.
0:28:33 > 0:28:36So, it's kind of really linking him to his partner's property
0:28:36 > 0:28:38- and not here.- Absolutely.
0:28:38 > 0:28:41All this information was adding up to a good case
0:28:41 > 0:28:44that he was not entitled to succeed the tenancy.
0:28:44 > 0:28:47You go into a massive amount of detail on these, don't you...?Yeah.
0:28:47 > 0:28:49..looking at people's backgrounds?
0:28:49 > 0:28:52Of course. We need to prove that he wasn't living at our property.
0:28:52 > 0:28:55And it wasn't just the succession claimant's details
0:28:55 > 0:28:56that were examined.
0:28:56 > 0:28:59Gemma also looked into his mother's files
0:28:59 > 0:29:01and found that she claimed the single person's discount
0:29:01 > 0:29:04on a council tax and she didn't mention her son
0:29:04 > 0:29:05on her benefits claim.
0:29:07 > 0:29:08We confirmed that the mother
0:29:08 > 0:29:10was claiming a single person's discount.
0:29:10 > 0:29:15- Ah.- Hadn't declared him on the benefit claim that she was on.- OK.
0:29:16 > 0:29:20The housing association rejected the son's succession claim,
0:29:20 > 0:29:23but instead of giving up, he lodged an appeal.
0:29:25 > 0:29:27I'm quite shocked by this because he knows
0:29:27 > 0:29:30you have all this evidence against him
0:29:30 > 0:29:33and he still goes to court to try to fight this.
0:29:33 > 0:29:35- Did he come to court? - Yes, he did.- OK.
0:29:35 > 0:29:37He attended every single hearing.
0:29:37 > 0:29:39The final damning piece of evidence
0:29:39 > 0:29:42was that eight months after his mother's death
0:29:42 > 0:29:45and a week before court proceedings were due to start,
0:29:45 > 0:29:47the tenant's son informed his place of work
0:29:47 > 0:29:50that he was changing his address from North London
0:29:50 > 0:29:53to his mother's address in South London.
0:29:54 > 0:29:57Sure enough, the appeal was rejected.
0:29:57 > 0:30:00Viridian Housing were given outright possession of the flat
0:30:00 > 0:30:03and the failed succession claimant was ordered to pay costs
0:30:03 > 0:30:05of more than £7,000.
0:30:06 > 0:30:08How did it make you feel
0:30:08 > 0:30:11to get this flat back into the public circle, if you like?
0:30:11 > 0:30:12It was such a relief.
0:30:12 > 0:30:15We're going to get a nice ground-floor property back.
0:30:15 > 0:30:17There's someone that desperately needs this.
0:30:17 > 0:30:19They've been waiting in the queue for years and years,
0:30:19 > 0:30:21and it was such a nice feeling.
0:30:24 > 0:30:26I don't think, personally, that, you know,
0:30:26 > 0:30:29a house should be able to be passed on as a council house.
0:30:29 > 0:30:31The council always own the house,
0:30:31 > 0:30:33so they should have the right to say
0:30:33 > 0:30:36who lives there, whether it's...in the future.
0:30:36 > 0:30:39It shouldn't be able to be passed on, I don't think.
0:30:39 > 0:30:41If that person is deceased now,
0:30:41 > 0:30:44the next person in line that's needed the flat
0:30:44 > 0:30:48it should go to, in that area within that council.
0:30:48 > 0:30:51And it's not who you know. It's really the next person in line.
0:30:51 > 0:30:53That's the only fair solution.
0:30:53 > 0:30:56We used to have a system in the old council places
0:30:56 > 0:31:00where when Mum or Dad died the children would have their place,
0:31:00 > 0:31:04but we don't have it any more, so if you're lucky enough to have
0:31:04 > 0:31:08what I still call a council place, which is social housing,
0:31:08 > 0:31:11then keep it and when you die, someone else can have it.
0:31:11 > 0:31:15I think the concept of, you know, cheating the system
0:31:15 > 0:31:22for getting succession of the flat needs to be investigated.
0:31:22 > 0:31:26I think a lot of resources are probably needed to look at that.
0:31:26 > 0:31:28You know, what is the extent of that problem?
0:31:28 > 0:31:30You know, to be honest, do we even know?
0:31:33 > 0:31:37Social housing tenants who unlawfully sublet their property
0:31:37 > 0:31:39sometimes advertise for subtenants.
0:31:39 > 0:31:44Sometimes, as we've seen, they do that through online sites.
0:31:44 > 0:31:49But one of the most brazen is to go through a high street estate agent.
0:31:49 > 0:31:53Estate agents who help council tenants sublet their properties
0:31:53 > 0:31:54may be breaking the law.
0:31:54 > 0:31:56If an agency is duped
0:31:56 > 0:31:59into advertising a council property for rent,
0:31:59 > 0:32:02they could be fined or even jailed for up to two years
0:32:02 > 0:32:06under Consumer Protection From Unfair Trading legislation.
0:32:07 > 0:32:09New tenancy verification software
0:32:09 > 0:32:13is now being developed to guard against this type of fraud.
0:32:16 > 0:32:19We're back with Family Mosaic's investigators Carly and Dominic
0:32:19 > 0:32:22on the trail of more unlawful subletters.
0:32:27 > 0:32:29This isn't the first time housing investigators
0:32:29 > 0:32:32have visited this particular two-bedroom flat
0:32:32 > 0:32:34in Peckham, South London.
0:32:34 > 0:32:37Last time, they found subletters here.
0:32:37 > 0:32:40The property was tenanted by a couple
0:32:40 > 0:32:42who spoke very little English.
0:32:42 > 0:32:45My colleague did complete a visit here some time ago.
0:32:45 > 0:32:48I do believe that the subtenants that we met with previously
0:32:48 > 0:32:50have now left the address,
0:32:50 > 0:32:53but I just want to see if our residents have actually returned
0:32:53 > 0:32:58to the property or if it has again been sublet.
0:32:58 > 0:33:00Checks revealed that the property had been let
0:33:00 > 0:33:02through an estate agent.
0:33:02 > 0:33:05This property was sublet through a managing agent.
0:33:05 > 0:33:07The tenants have gone to a managing agent
0:33:07 > 0:33:10and they obviously haven't carried out the checks required.
0:33:10 > 0:33:13The tenants who should be living at this flat
0:33:13 > 0:33:16were found to have links with other properties,
0:33:16 > 0:33:19and investigators now want to establish once and for all
0:33:19 > 0:33:21if they're living here or not.
0:33:21 > 0:33:24We carried out checks on the tenants
0:33:24 > 0:33:25that should be there
0:33:25 > 0:33:27and we've linked them to two other properties.
0:33:27 > 0:33:30They do have financial links, whether that be bank accounts,
0:33:30 > 0:33:32credit cards or mobile phones to other addresses,
0:33:32 > 0:33:35so we just need to double-check
0:33:35 > 0:33:38and confirm exactly what property it is that they're residing at.
0:33:39 > 0:33:42If there's no-one in today or if there are more subtenants
0:33:42 > 0:33:43in the property,
0:33:43 > 0:33:46then Carly and Dominic are going to serve a notice to quit.
0:33:53 > 0:33:55Hello. This is Family Mosaic.
0:33:59 > 0:34:00It seems there's no-one home,
0:34:00 > 0:34:03so Carly and Dominic serve the notice to quit
0:34:03 > 0:34:05and start the process to get the property back.
0:34:07 > 0:34:09So, if you can...
0:34:09 > 0:34:10I'll put it through the letterbox,
0:34:10 > 0:34:13but I'll just take a picture of you actually putting it through.
0:34:17 > 0:34:19- OK?- Yeah.
0:34:27 > 0:34:28There we go.
0:34:29 > 0:34:33The tenants now have 28 days to give up the property
0:34:33 > 0:34:36or provide an explanation.
0:34:36 > 0:34:39It went OK. Ideally, I would've liked to have met with a resident
0:34:39 > 0:34:42or at least a subtenant to get some more information,
0:34:42 > 0:34:45but hopefully that will prompt the proper tenant
0:34:45 > 0:34:48to get in contact to actually say, "Well, I've been caught.
0:34:48 > 0:34:51"I hold my hands up. I'll relinquish my tenancy."
0:34:51 > 0:34:54Or the other option is that they will be taken to court
0:34:54 > 0:34:59and the judge can award us any monies that our tenants have gained
0:34:59 > 0:35:02through illegally subletting their property.
0:35:02 > 0:35:07The investigation is still ongoing, but with any luck,
0:35:07 > 0:35:09the property will soon be reclaimed
0:35:09 > 0:35:12and will provide a home for a more deserving family.
0:35:16 > 0:35:20Agencies, particularly, should be penalised very heavily
0:35:20 > 0:35:24if they are not assuring that these are proper tenancies.
0:35:24 > 0:35:27Well, I guess for the people who are doing the subletting
0:35:27 > 0:35:29it's cos you can make an awful lot of money,
0:35:29 > 0:35:32because there's just a massive lack of housing available
0:35:32 > 0:35:34to people who are desperate to be housed.
0:35:34 > 0:35:36A lot of people abuse the system
0:35:36 > 0:35:41and they take what they can get rather than taking what they need.
0:35:44 > 0:35:46Councils and housing associations
0:35:46 > 0:35:50take the idea of social housing fraud very seriously.
0:35:50 > 0:35:51Good morning, everybody.
0:35:51 > 0:35:55In 2012, they set up the Tenancy Fraud Forum,
0:35:55 > 0:35:58which is sort of a supergroup of social landlords in the UK.
0:35:58 > 0:36:00- Has everyone got an agenda? - Yep.- Yes.
0:36:00 > 0:36:03Their mission is to share information
0:36:03 > 0:36:05and come up with new ways of combating fraud.
0:36:05 > 0:36:07Thank you so much for coming this morning
0:36:07 > 0:36:09to the meeting of the Tenancy Fraud Forum.
0:36:09 > 0:36:12We've got a very full and very interesting agenda.
0:36:12 > 0:36:15The Tenancy Fraud Forum was formed to ensure
0:36:15 > 0:36:18that all social landlords could work together
0:36:18 > 0:36:20in combating tenancy fraud.
0:36:20 > 0:36:22The forum meets four times a year.
0:36:22 > 0:36:25Katrina Robinson from Viridian Housing Association
0:36:25 > 0:36:27is the group's chair.
0:36:27 > 0:36:28If people are subletting,
0:36:28 > 0:36:31they should realise that social landlords
0:36:31 > 0:36:33share information and data with each other,
0:36:33 > 0:36:37so if somebody is subletting in Liverpool
0:36:37 > 0:36:38and they've moved to Northern Ireland,
0:36:38 > 0:36:40we will find out about it.
0:36:40 > 0:36:43Sharing news of successes is high on the agenda.
0:36:43 > 0:36:45We've had two cases that have gone to court
0:36:45 > 0:36:48and we've been successful in both those cases.
0:36:48 > 0:36:50Councils and housing associations
0:36:50 > 0:36:53have got new tools to help root out wrongdoers.
0:36:53 > 0:36:55Garym Lambert is a council fraud manager
0:36:55 > 0:36:57from South Northants Council.
0:36:57 > 0:37:02Anybody who investigates tenancy fraud has got significant powers.
0:37:02 > 0:37:04We can get your bank accounts.
0:37:04 > 0:37:11Utilities, gas, electricity, water, TV license, any finance you have.
0:37:11 > 0:37:15Vehicle details. Anything like that, we can get that.
0:37:15 > 0:37:17And the penalties are serious.
0:37:17 > 0:37:22We are seeing more and more cases being put into the courts.
0:37:22 > 0:37:24Ultimately, in the worst cases,
0:37:24 > 0:37:30it's two years imprisonment and/or £50,000 in fines.
0:37:30 > 0:37:32Monday we got our first Right to Buy fraud.
0:37:32 > 0:37:36She pleaded guilty and she's sentencing on Friday.
0:37:36 > 0:37:39- Very good. So she'll be going to prison for it then.- Well, maybe.
0:37:39 > 0:37:40Yes, let's hope so.
0:37:40 > 0:37:42Since the Tenancy Fraud Forum has set up,
0:37:42 > 0:37:46our members have really seen their success rates increase,
0:37:46 > 0:37:47especially since we've had
0:37:47 > 0:37:49the Prevention Of Social Housing Fraud Act,
0:37:49 > 0:37:52which came into force in 2013.
0:37:52 > 0:37:54Now somebody can go to prison for subletting
0:37:54 > 0:37:57and we can also get back the profits that they've made.
0:37:57 > 0:38:00And cooperation between housing associations
0:38:00 > 0:38:03and local authorities is yielding results on the ground,
0:38:03 > 0:38:05as our next case shows.
0:38:05 > 0:38:07We're on the trail of a tenancy cheat
0:38:07 > 0:38:11who's been subletting his Central London apartment
0:38:11 > 0:38:16while for the last five years living and working in Las Vegas.
0:38:16 > 0:38:20He should've been living in this very nice one-bedroom flat here
0:38:20 > 0:38:22just around the corner from Euston Station,
0:38:22 > 0:38:27but instead he was here in the gambling capital of the US.
0:38:27 > 0:38:31- Hey, Sherene.- Oh, hi, Luke.- How are you?- I'm fine, thank you.- Good.
0:38:31 > 0:38:33- Good to see you.- And you. - So, another case.- Yes.
0:38:33 > 0:38:36Luke's with housing officer Sherene Horne,
0:38:36 > 0:38:40who was put on the case thanks to a tip-off from a tenant.
0:38:40 > 0:38:42One of the residents in that block informed me
0:38:42 > 0:38:44that there's a possible sublet
0:38:44 > 0:38:48as they haven't seen the original tenant for quite a long time.
0:38:48 > 0:38:52And I have to say that we do rely on information from residents,
0:38:52 > 0:38:56cos we're not on site all the time, we don't see the comings and goings.
0:38:56 > 0:38:58And also I'm sure that they don't want to see
0:38:58 > 0:39:01properties being fraudulently used.
0:39:01 > 0:39:04You know, they're honest, law-abiding residents,
0:39:04 > 0:39:07so they expect others to be the same.
0:39:07 > 0:39:10In fact, around 50% of the cases Sherene investigates
0:39:10 > 0:39:13are as the result of a tip-off.
0:39:13 > 0:39:17So, basically I did some checks and I did an audit.
0:39:17 > 0:39:19I found a young lady to be residing in the property.
0:39:19 > 0:39:21She didn't give me much information.
0:39:21 > 0:39:24She just let me know that the tenant wasn't there at the time.
0:39:24 > 0:39:27It's a clear case of unlawful subletting.
0:39:27 > 0:39:30It's in a wonderful location. We can go and have a look, if you'd like?
0:39:30 > 0:39:33- I'd love to. That'd be great. - Yeah, let's do that.
0:39:37 > 0:39:39- Thank you.- There you go.
0:39:39 > 0:39:41- So, it's on the second floor.- Yes.
0:39:41 > 0:39:43OK. OK.
0:39:43 > 0:39:45So, it's a one-bedroom property.
0:39:47 > 0:39:50- So, this would be the bedroom. - This is the bedroom area.- OK.
0:39:50 > 0:39:52- I mean, for Central London, good size.- Yeah.
0:39:52 > 0:39:54- Kind of a dressing area down there. - Storage down there.
0:39:54 > 0:39:57- So, OK. That's in pretty good condition, isn't it?- Yeah.
0:39:57 > 0:39:58This is a decent bathroom,
0:39:58 > 0:40:00so we should be able to just clean that up.
0:40:00 > 0:40:02So, if we come through here,
0:40:02 > 0:40:04we've got the kitchen and the lounge.
0:40:04 > 0:40:06- This is nice.- Yeah. - This is lovely.
0:40:06 > 0:40:09It's nice, it's spacious.
0:40:09 > 0:40:11Oh, you know, you've got cafes, bars.
0:40:11 > 0:40:14- And Euston Station...- Yep. - ..two minute walk?
0:40:14 > 0:40:18- Exactly.- This is prime.- It is. It's a really nice location.
0:40:18 > 0:40:23- The community in the block is a close-knit community.- Mm-hm.
0:40:23 > 0:40:26That's how I came to find out that this property was being sublet.
0:40:26 > 0:40:28Once she got a tip-off from a neighbour,
0:40:28 > 0:40:32Sherene started looking into the tenant's background.
0:40:32 > 0:40:35I carried out some checks with the National Fraud Agency.
0:40:35 > 0:40:36That evidenced that the resident
0:40:36 > 0:40:39didn't have any links to the address, none at all.
0:40:39 > 0:40:42Looked at the electoral register to see if the resident was on there.
0:40:42 > 0:40:45He wasn't, but several other people were.
0:40:45 > 0:40:48It looked like he'd been subletting for some time.
0:40:48 > 0:40:51Sherene passed her findings on to the local authority
0:40:51 > 0:40:53for further checks.
0:40:53 > 0:40:57So, I sent the details to Camden for further investigation
0:40:57 > 0:41:01and Camden were able to locate the resident out of the country
0:41:01 > 0:41:04and informed me that he hadn't been in the UK for over five years.
0:41:04 > 0:41:07- Five years?!- Yes. A very long time.
0:41:07 > 0:41:13In fact, he'd been here - Las Vegas, the gambling capital of America.
0:41:13 > 0:41:15After five years of unlawful subletting,
0:41:15 > 0:41:17this tenant had plenty of money
0:41:17 > 0:41:20to fritter away on the slot machines,
0:41:20 > 0:41:22but the game was about to be up.
0:41:22 > 0:41:24So, once I received confirmation
0:41:24 > 0:41:28that actually he wasn't living at the property, I served notices.
0:41:28 > 0:41:31I served a notice to quit and a notice of seeking possession.
0:41:31 > 0:41:35- Right.- That was sent to Las Vegas and hand-delivered to this property.
0:41:35 > 0:41:38- Did he respond?- He didn't respond,
0:41:38 > 0:41:42but what he did do was ensure that the keys were delivered
0:41:42 > 0:41:45to our offices before the end of the notice period.
0:41:45 > 0:41:47- Oh, really?- Yeah.
0:41:47 > 0:41:50So, what that did was that meant that we could end the tenancy
0:41:50 > 0:41:52without having to go to court.
0:41:52 > 0:41:54So, that saved us some money on court costs.
0:41:54 > 0:41:56I think he realised he was bang to rights,
0:41:56 > 0:41:59especially as we had his address in Las Vegas.
0:41:59 > 0:42:01I think he realised then that the best thing
0:42:01 > 0:42:03is to just give back the tenancy.
0:42:03 > 0:42:06So, thanks to the neighbour's tip-off and Sherene's tenacity,
0:42:06 > 0:42:11this tenant had little choice but to cash in his chips.
0:42:11 > 0:42:14And from the first point of your investigation
0:42:14 > 0:42:18to getting the keys back, how long was that period?
0:42:18 > 0:42:20All in all, it took just over four months
0:42:20 > 0:42:22to regain possession of the property,
0:42:22 > 0:42:24so really that's quite a speedy recovery,
0:42:24 > 0:42:27because I have had cases that have dragged on for two years.
0:42:27 > 0:42:30- Good work all around. Fantastic.- Yeah. Thank you.
0:42:30 > 0:42:34Now this flat will be allocated to someone more deserving,
0:42:34 > 0:42:38and all because what happened in Vegas didn't stay in Vegas.
0:42:45 > 0:42:48As we've seen, the tide is starting to turn
0:42:48 > 0:42:50as investigators use new powers
0:42:50 > 0:42:53to track down tenancy cheats wherever they are,
0:42:53 > 0:42:56reclaim their properties and give them back
0:42:56 > 0:42:58to some of the 1.5 million families
0:42:58 > 0:43:01on council waiting lists across the UK.