…if you do not keep your eye on the opportunistic fraudster!

The regulator has warned associations to keep reputational risk in mind now that new freedoms to dispose of stock, merge, and restructure without consent are in place.  Now that the regulator’s consent powers have been reduced, much of the risk rests with the RSL sector. Social Landlords will have to think carefully about how what they are doing affects their long-term reputational risk.

One risk that’s not specifically mentioned, but that is worthy of consideration nonetheless, is the risk of fraud.  This can arise in many ways, not just from the ever-present risk of sub-letting and abandonment.  In a deregulated market, every sale will be subject to scrutiny and one fraud risk that all HAs will wish to rule out is that of corrupt influence on sales.  This could arise as a result of an undeclared conflict of interest, for example, or by a member of staff giving a prospective purchaser the ‘inside track’ on proposed stock disposals.