The Benefit Fraud Investigation Unit said today that 887 benefits were stopped or reviewed last year after its investigations, saving the country €3.83 million in benefits annually.

It said its inspectors last year made 1,391 inspections. Only 430 cases were found not to violate the law.

A substantial number of cases investigated last year are awaiting a final decision by the Social Security Department.

The department said a process is in hand to strengthen coordination in information-gathering among various entities so that a bigger number of cases may be identified. The number of inspectors is also being increased.

The department has been operating since January 2006. Since then its investigation has led to the stoppage or review of 8,500 benefits, saving the country €31.7 million.

Social Policy Minister Michael Farrugia in a press briefing this morning and said that in terms of the Budget speech, those in receipt of benefits they are not entitled for have up to the end of next month to come forward and regularise their position.

They will be required to pay a penalty amounting to 15% of the funds they received irregularly and will not be liable for further action.

He said such cases could involve illegal receipt of unemployment benefit by employed persons, and other changes of circumstances such as when a person is cohabiting and does not declare so.

The minister said those receiving non-contributory benefits (such as relief) would henceforth be able to go abroad without losing their benefits, as long as the Social Security Department was informed. In the past they risked losing their benefits since the department felt they could not afford to go abroad in view of their limited income.

He said the benefits would also be reviewed so that saving would be directed to people who currently got nothing, such as patients who suffered some disabilities, as well ME and fibromyalgia.