HC Deb 16 July 2003 vol 409 cc438-9W
Mr. Watts

To ask the Parliamentary Secretary, Department for Constitutional Affairs what plans he has to conduct an investigation into abuse of the legal aid system. [125211]

Mr. Lammy

The Secretary of State and I are most concerned about possible abuses of the legal aid system. However we are confident that the Legal Services Commission (LSC) has strong controls and measures in place to prevent and investigate fraud and abuse of the legal aid system.

The LSC has established procedures for handling cases where allegations of fraudulent behaviour by suppliers, and clients seeking funding are made and for taking appropriate action where fraud or abuse is uncovered.

The reforms underpinned by the Access to Justice Act 1999 have significantly strengthened the control of fraud and abuse by suppliers. All suppliers who wish to provide publicly funded legal services are required to work to a contract and to comply with the LSC's quality standards. The LSC reorganised its Investigations Section in 2002–03 to reflect the fact that fraud control is increasingly achieved via contract management audits, which are the responsibility of the regional offices. Firm action has and is being taken on a n umber of firms where abuses have been uncovered, including the termination of contracts. The LSC is also working jointly with The Law Society and the Office of the Immigration Services Commissioner to actively investigate recent evidence of abuse by way of giving out inducements to asylum seekers at ports of entry. LSC action includes carrying out special audits of firms and the investigation is still continuing.

The LSC is also committed to actively investigating where doubts arise about whether a funded client is financially eligible for funding. These investigations are conducted by the LSC's Special Investigations Unit, which also assists regional offices with the means assessment of applicants for funding whose financial positions are complex.