You might think that there is only a remote possibility of identity theft happening to you, or someone you know. That it’s highly unlikely your house, and everything inside it will be stolen. Or that legal businesses can play a vital role in the theft.
In a BBC News report dated 1st November, 2021 by Shari Vahl, reporter for Radio 4’s You And Yours programme, the Reverend Mike Hall discovered an unknown builder inside his house and that his furniture was no longer there. The person who had taken possession of the property was adamant that he had purchased it from a third party, claiming to be the legal vendor.
Reverend Hall was working in North Wales when he received a telephone call from a neighbour, to say that someone was inside his house in Luton. When he drove home the following morning, his key wouldn’t open the front door, and the builder asked the new owner’s father to come and speak to him. The Reverend was told that he was trespassing, and asked to leave. So he called the police. A search was made online at HM Land Registry, which verified that the name of the man’s son was indeed on their official documentation dated 4th August. It transpired that Reverend Hall’s identity had been stolen.
The police advised him that there was nothing they could do. He was involved in a civil dispute, and his best option would be to contact a solicitor. Frustrated by this response and obviously not satisfied, he tried again to contact the police online. Only to receive the same reply. As far as they were concerned a criminal offence had not been committed. However, when the BBC became involved, the fraud squad department at Bedfordshire Police confirmed that they would investigate the matter further.
The BBC also obtained copies of documentation linked to the identity theft. Including a driving licence impersonating Reverend Hall; details of the false bank account set up in his name, into which the £130,000 proceeds of the sale had been paid; together with telephone recordings of conversations between the solicitor and purported owner, during the conveyancing transaction. The legal firm concerned refused to comment any further. Saying only that they would cooperate with the police, and comply with their professional obligations.
If you would like to listen to Reverend Hall tell his story, click here. Also HM Land Registry’s report shared online by the government. This states that £2.1 million was paid by them as compensation for fraud during 2019/20, plus £3.2 million for inaccuracies on the register. Despite the department’s reliance on identity checks being made by professional conveyancers and solicitors. An interesting post by Cyber Crew gives further statistics relating to this.
Obviously none of us wants an identity theft to happen. Apart from the devastating effect it can have on our clients, it has the potential to be an embarrassing public relations’ exercise. One which is also detrimental to business. Especially if the legal practice concerned relies heavily on local clients for new cases, and retention. Bad news travels fast! However, on a more positive note, there are a number of online packages available now to help solicitors and conveyancers accurately check their clients’ identities, and lessen the risk of fraud occurring.
Clearly the importance of having a robust case management system in place, supported by the most up-to-date legal technology, remains vitally important for all of us. At InCase, we have market leading identify document checking, from using NFC chip readers to facial recognition software that matches live recordings. This is all built in to our mobile app providing the ultimate reassurance of your client’s identity. Get in touch to find out more.