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Osborne Update: Met passes the buck

10 Monday Dec 2012

Posted by Mike Sivier in Crime, UK

≈ 14 Comments

Tags

cash, Chancellor, class, Conservative, Exchequer, expenses, flip, George Osborne, land registry, Mike Sivier, mikesivier, mortgage, paddock, taxpayer, Vox Political


He thinks he can get away with using taxpayers' money in a get-rich-quick property scheme, and then pocketing the profits. Only you can make him think again. It seems clear that he committed fraud. He should be jailed.

He thinks he can get away with using taxpayers’ money in a get-rich-quick property scheme, and then pocketing the profits. Only you can make him think again. It seems clear that he committed fraud. He should be jailed.

The Metropolitan Police cannot investigate George Osborne over the way he misused public funds to pay mortgage interest on a paddock in Cheshire – apparently there is a separate investigation already taking place.

A representative passed this information to me by telephone earlier today. She assured me that a file had been created and sent to the appropriate place (Westminster), but said: “There are separate ongoing issues that are being investigated, so it can’t be done by us. You would have to speak to your local MP.”

When I pressed her for the reason, she said “It is not within our jurisdiction to do this. There is a separate investigation ongoing with this.”

I haven’t got the faintest idea what she meant by this. Therefore I have emailed my MP and asked him to take up the matter. There is a problem with this, in that he is a Liberal Democrat and therefore part of the Coalition, of which George Osborne is a high-ranking member.

In my email, I urged my MP to do everything within his power to ensure that a proper police investigation does indeed take place into Mr Osborne’s wrongdoing (it isn’t alleged – the facts are known and it is therefore simply a matter of ensuring that a prosecution takes place and the criminal is imprisoned. Bear in mind that, as Chancellor of the Exchequer, what he has done is a gross betrayal of public trust).

I added that he may find that other MPs have also been contacted by constituents who want to see justice served. By that, I mean anyone reading this, who has read my previous articles about this and taken action on them.

I also added that I am extremely interested to learn the nature of the “separate ongoing issues” mentioned by the officer of the Metropolitan Police, and urged him to find out what this means and let me know. And I asked, if this investigation is not within the jurisdiction of the Met, who is carrying it out?

I strongly urge you to do likewise.

Please note: I have been advised that my information is out of date as the fraud-related provisions of the Theft Act 1968 have been repealed and replaced by the Fraud Act 2006. Mr Osborne’s actions are therefore likely to be crimes under sections 2, 3, and 4 of the 2006 Act.

For those who want to contact their MP, as I have, but need to find the correct email address, here’s the appropriate web link:
http://www.parliament.uk/get-involved/contact-your-mp/

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Police urged to investigate fraud allegations against Osborne

09 Sunday Dec 2012

Posted by Mike Sivier in Crime, UK, Uncategorized

≈ 77 Comments

Tags

cash, Chancellor, class, Conservative, Exchequer, expenses, flip, George Osborne, land registry, Mike Sivier, mikesivier, mortgage, paddock, taxpayer, Vox Political


It doesn't contain the Budget; it's probably his swag bag.

It doesn’t contain the Budget; it’s probably his swag bag.

… by me.

What follows is the text of my complaint to the Metropolitan Police (via their website)  about George Osborne’s paddock scam. I have received a large volume of responses to my article about this yesterday, all but one of which agreed with my belief that what he did was a criminal offence and should be investigated with a view to prosecution and imprisonment.

I would strongly urge others to contact the Met regarding this case. I’ve done it; you can do it too. The more of us stand up and demand action, the more seriously they are likely to view this matter.

Here’s what I wrote:

It has emerged that the Chancellor of the Exchequer, the Rt Hon George Osborne MP, has been misusing taxpayers’ money for his own enrichment and for that reason I have been urged to request a criminal investigation concerning fraud. From the evidence that is publicly available, it seems clear that this is an offence according to s.16 of the Theft Act, 1968.

We know that Mr Osborne bought a farmhouse in Cheshire, along with the neighbouring land, for £455,000 in 2000, before he became an MP in 2001. Between 2003 and 2009, he claimed up to £100,000 in expenses to cover mortgage interest payments on both the land and the building. The mortgage was interest-only. After 2003, he never paid a penny himself.

He re-mortgaged in 2005, increasing the amount to £480,000 – again on an interest-only basis – to cover the initial purchase costs and £10,000 for repairs. He was using public money to claw back his outlay on the property so, from then on, we can say that none of the money paid on that building or land was ever paid by Mr Osborne. It all came from the taxpayer.

During the MPs’ expenses scandal of 2009 we learned that he had “flipped” his second home allowance onto the farmhouse building and increased the mortgage. What we didn’t know was that the expenses payments were not just for the house, but for the paddock as well; it is registered separately with the Land Registry.

Mr Osborne sold the house and the land – both of which are now firmly established as having been funded with taxpayers’ money, not his own – last year, for £1 million. That’s more than double the original price. He has pocketed that money; the taxpayer won’t get any of it back.

So he has exploited taxpayers like you and me to make £1 million for himself. This was not a necessary expense to help him discharge his Parliamentary duties; it seems clear that it was a property scam.

I wish also to invite you to take action against this person for any other offences which may apply, such as false accounting (s.17, Theft Act 1968).

Obviously, since the crime relates to expenses claims, the location is wherever MPs’ expenses claims are considered. I would suggest this is the Palace of Westminster (the Houses of Parliament) but I am prepared to be corrected on this.

The victims of this crime are the taxpayers of the UK. Mr Osborne took money that was available to Parliament through taxation, therefore no single person can claim they are the victim but all taxpayers have been affected. Please be reminded that we are discussing a considerable sum of money – up to £100,000.

I refer you to the following press reports of the issue, in which it is made clear that Mr Osborne did not need this building or the adjoining land to discharge his Parliamentary duties, nor did he pay back anything like the amount he claimed, when he was found to have overclaimed for mortgage interest on the farmhouse (and only the farmhouse):

http://www.guardian.co.uk/politics/2012/dec/07/taxpayers-paid-george-osborne-paddock-mortgage

http://www.mirror.co.uk/news/uk-news/george-osborne-included-a-horses-paddock-1477294

http://www.mirror.co.uk/news/uk-news/george-osborne-included-a-horses-paddock-1477294

http://www.telegraph.co.uk/news/politics/georgeosborne/9729139/George-Osborne-bought-paddock-with-taxpayers-money.html

I realise this is an unusual complaint but the situation is the subject of considerable public unrest and I believe it is right to bring it to the attention of the police. There is a widespread feeling that Mr Osborne has committed a crime, that this should be investigated to the fullest extent, and that a criminal action should be brought against him. It is understood that this person holds one of the highest offices in the land but this should not place him above the criminal law.

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Storm in a scrapyard over Hughes – while Osborne should be arrested

08 Saturday Dec 2012

Posted by Mike Sivier in Crime, UK

≈ 14 Comments

Tags

cash, Chancellor, class, Conservative, Deputy, donation, Exchequer, expenses, fare, first, flip, funded, George Osborne, land registry, Leader, Liberal Democrat, Mike Sivier, mikesivier, mortgage, paddock, questions, railway, simon hughes, standard, taxpayer, train, Vox Political


Making out like a bandit: George Osborne has pocketed £1 million by using taxpayers' money. Should he be jailed for fraud?

Making out like a bandit: George Osborne has pocketed £1 million by using taxpayers’ money. Should he be jailed for fraud?

I can’t see any reason to make a fuss over Simon Hughes.

The Liberal Democrat deputy may have failed to declare – fully – a £10,000 donation from a scrap metal firm. Big deal. He did not see any of the money himself. Apparently there’s another donation of £15,000 from a cruise company. Hughes was the speaker at a Christmas cruise on the Thames, operated by this company, and has spoken about both firms in Parliament. It looks like straightforward ‘cash-for-questions’, if there’s truth to it.

Isn’t it more interesting that this should come to light on the same day that I read about George Osborne and his paddock?

This is not an allegation but fact: Osborne – who is, let’s remember, the Chancellor of the Exchequer, and therefore should know the rules extremely well – included the mortgage for a paddock in his taxpayer-funded expenses.

He bought a farmhouse in Cheshire, along with the neighbouring land, for £455,000 in 2000, before he became an MP – but then, between 2003 and 2009, he claimed up to £100,000 in expenses to cover mortgage interest payments on both the land and the building. The mortgages were interest-only. After 2003, he never paid a penny himself.

When he re-mortgaged in 2005, he increased the amount to £480,000 – again on an interest-only basis – to cover the intial purchase costs and £10,000 for repairs. He was using public money to claw back his outlay on the property, so from then on, none of the money paid on that building or land was paid by Mr Osborne. It all came from the taxpayer.

During the MPs’ expenses scandal of 2009 we learned that he had “flipped” his second home allowance onto the property and increased the mortgage. What we didn’t know was that the expenses payments were not just for the house, but for the paddock as well; it is registered separately with the Land Registry.

Osborne sold the house and the land – both of which are now firmly established as having been funded with your money, not his – last year, for £1 million. That’s more than double the original price. He has pocketed that money; the taxpayer won’t get any of it back.

So he has exploited us to make £1 million for himself.

Make no mistake – this was not a necessary expense to help him discharge his Parliamentary duties; it was a property scam.

Because the money was claimed as a Parliamentary expense, I think there are grounds for a fraud inquiry. It seems like an open-and-shut case of obtaining a pecuniary advantage by deception (Theft Act 1968, section 16).

Let’s also remember that this is a man with what I believe is known as “form”. Earlier this year he was caught in the First Class compartment of a train, having paid only a Standard Class fare. Again, he had obtained an advantage via deception.

Did he pay any penalty for the railway incident? I’ve heard nothing. Will he pay a penalty for this £1 million wheeze? I doubt it.

But you should remember it, next time you see him telling you that his latest plan to squeeze the last vital pennies from your bank accounts are “fair”.

And you should pay particular attention to this comment from him, made when he became Chancellor (and therefore while he was still claiming the mortgage on expenses, before making the sale): “I took a pay cut, and froze my pay on taking this job, took a pay cut from the previous chancellor, the Labour chancellor, in order to show that politicians weren’t going to get away with it.”

He seems to think he can.

I find it extremely dubious that the allegations about Hughes should take pride of place on certain news media websites, while the facts about Osborne appear to be all but brushed under the carpet.

My opinion: Osborne should be arrested and remanded in custody (without bail – the risk that he might abscond would be too great) until a trial can take place.

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