The Mail on Sunday has revealed that a group of Iraqi Asylum seekers have been raking in a fortune by illegally sub-letting luxury London flats. After claiming asylum in the UK, the individuals were given Housing Benefit to pay for flats in some of London’s most exclusive areas. Unfortunately for the UK tax payer, their hard-earned cash was soon invested in a money making exercise of gigantic proportions.
Instead of living in their luxury flats with concierges, 24 hour security, and manicured lawns, the Iraqis decided to sub-let the flats to wealthy tourists for as much as £3,000 per week.
Local estate agents are not surprised to learn of the property letting scam.
“They come into my office asking which blocks are best to rent,” one Marylebone agent told the Daily Mail. “Some of them will come to the UK with a piece of paper with instructions on how to do things. First you have to be pregnant, then go to the housing department – they give you a flat.
“After you get the flat, you move into another place, give the [first set of] keys to an agent, he will find you a tenant and you’ll be making double whammy – money from the Government and making money from the flat the Government gave you.”
The refugees apparently find their luxury accommodation through a middle-man, who splits the profits with the benefits claimants when the money starts rolling in from wealthy Arabs holidaying in London. The owners of the properties have no idea what’s going on because the rent is paid on time.
Unfortunately, despite the fact the fraudsters have all been caught and their Housing Benefit cut off, Westminster Council says it will be extremely difficult to recover the money via a criminal prosecution because of the high burden of proof needed in court.
