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Original poster

Would you report a company for furlough fraud?

28 replies

Namechanged · 26/08/2020 23:17

I am a customer for a certain company. The company have reopened for business and are charging me for services of an employee I use. No problem - I can and will pay. Only the directors casually mentioned that they have furloughed all their employees and their employees will be working volunatarily until 1st Nov. Plus the directors said their employees have agreed to a pay cut.

On one hand, it makes no difference to me - I can pay and will pay. There is no change to my fees. On the other hand, I do think this is tax evasion. The employees will have a job - but the only person really benefiting are the directors - surely?

OP posts:
alexdgr8 · 26/08/2020 23:21

yes, report them.
there is a way to do it. look on HMRC website.

IWantT0BreakFree · 26/08/2020 23:25

Absolutely report them! They are fraudulently having the taxpayer foot their wage bill whilst still pocketing their profits. It's theft.

nc600 · 26/08/2020 23:25

Yup

GingerAndTheBiscuits · 26/08/2020 23:26

Yes. Furlough is a huge expense which we’ll be recouping the cost of for years (likely though more cuts to what’s left of public services) so those who are cheating the system deserve to be reported.

Original poster
Namechanged · 26/08/2020 23:26

Thanks alexdgr8. I do know that I could report them, but the directors said they would have to close down their business. I like their employees a lot and use their services - those employees would lose their job if I did report and the company closed down.

OP posts:
Crinkledbeetroot · 26/08/2020 23:31

Yes, absolutely report them. They are stealing from all of us.

CalmYoBadSelf · 26/08/2020 23:33

Yes I would report them. This is deliberate fraud which steals from all of us

HerRoyalNotness · 26/08/2020 23:44

Well People would say anything to justify theft wouldn’t they? They’re trying to make you feel bad. Report away.

happinessischocolate · 26/08/2020 23:46

It might be legit. You can be furloughed for some hours and working some hours. It's not 100% one or the other.

happinessischocolate · 26/08/2020 23:48

If it was not within the guidelines then I'd be very surprised that a director was stupid enough to casually mention it, especially to a customer

Gingerfish91 · 26/08/2020 23:52

No I wouldn’t report them!

MadameBlobby · 26/08/2020 23:52

@Namechanged

Thanks alexdgr8. I do know that I could report them, but the directors said they would have to close down their business. I like their employees a lot and use their services - those employees would lose their job if I did report and the company closed down.
They’ll probably do that anyway when they aren’t able to have the taxpayer bankroll their staffing costs. I wouldn’t let that be the reason for stopping you
sociallydistained · 26/08/2020 23:57

I reported a company. Nothing was done

Uhoh2020 · 26/08/2020 23:59

I can't see why a company director would effectively volunteer that he's abusing the furlough scheme to a customer. As PP said its OK for employees to be part working part furlough. By all means report them if you wish, at best they'll be investigated and be found to be working legitimately, at worst they'll be fined and closed down.

Original poster
Namechanged · 27/08/2020 00:09

@sociallydistained - has the company you reported been investigated? Or your report ignored?

OP posts:
missatrick · 27/08/2020 00:25

But you can now take advantage of the flexible furlough conditions this last month or so. This means that employees can work and get paid full pay, but can also be furloughed at the same time, ( if agreed at a lower wage).
So without knowing all the ins and outs, it sounds legit.

YellowOrangeRed · 27/08/2020 08:05

Report them. If they are legit then there won’t be a problem. If they’re not legit then they need to be stopped.

MadameBlobby · 27/08/2020 08:11

So without knowing all the ins and outs, it sounds legit.

How does saying staff are working “voluntarily” sound legit? It could mean that they’ve volunteered to come back to work but are on flexible furlough, or it could mean they aren’t being paid.

OP, report. It’s not down to you to be Miss Marple and get to the bottom of it. That’s for HMRC. As PP have said if they’re legit, there’s no issue.

MRex · 27/08/2020 08:11

It seems like an odd set of information to have been shared with a customer. They might be operating within the rules, because there can be a mixture of part-furlough and part-working. If you know the details of their payroll and have checked against the rules then yes, report them. If you think you've heard something but actually don't know exactly what they're doing then it seems time-wasting.

RoseAndRose · 27/08/2020 08:13

Yes report them.

If the person misspoke, or you misunderstood, then the company is OK

I've been watching a small local charity in difficulties, because they've had to furlough staff, and have had to rely on volunteers/trustees to go in to deal with urgent stuff and maintenance, even though they sometimes struggle to find someone with the right competencies. This is because they are playing it totally straight and furloughed staff are furloughed and can't just pop in to do a bit of routine stuff that shouldn't wait. (Yes, I have donated to them, but cannot possible cover the amount they are losing)

Furlough fraud is just taking from all of us.

Hardbackwriter · 27/08/2020 08:17

@Namechanged

Thanks alexdgr8. I do know that I could report them, but the directors said they would have to close down their business. I like their employees a lot and use their services - those employees would lose their job if I did report and the company closed down.
Either a) they're lying and they don't need the furlough money, just want it or b) they will go bust very soon anyway if they really can't afford to pay any of their employee's wages despite money coming in.

In any case, you don't get to steal in order to keep your business going no matter how sad it would be if your business closed.

dalrympy · 27/08/2020 08:20

I reported. Nothing has been done so far. I know that at least 3 other people reported the same company.

Alex50 · 27/08/2020 09:22

Report it will be looked into, it might be legit, it’s quite a strict scheme, you have to document everything. I am back to work part time, some of my wages are paid by furlough, I submit a time sheet each week so the government can trace back the hours they have paid for.

PumbaasCucumbas · 27/08/2020 09:30

Yes, as I understand it they are given a period to voluntarily give back any money that they took by ‘mistake/misunderstood’ the rules... if they refuse of still look fishy then official proceedings start I think, but will probably take a long time (probably beyond October).

We’ve used the furlough scheme to the letter and our business and remaining staff have bust a gut to keep the show on the road. Really annoying that other companies just treat it as free money.

GreyGardens88 · 27/08/2020 09:35

Report, report, report

How stupid are the directors to mention this to you

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