BOROUGH OF POOLE
AUDIT COMMITTEE
22 SEPTEMBER 2009
ANNUAL ‘WHISTLEBLOWING’ REPORT 2008/09
PART OF PUBLISHED FORWARD PLAN: YES
STATUS – SERVICE DELIVERY INFORMATION
1.PURPOSE
1.1This report is prepared in accordance with the Council’s Whistle-Blowing Policy, which requires a summary of the number, nature and outcome of Whistle-Blowing referrals investigated in the year to be presented to this Committee.
1.2The Whistle-Blowing Policy was updated in March 2008 and exists to ensure individuals are able to raise any concerns they may have safely, without fear of harassment or victimisation. The concerns may be about something that is considered to be unlawful, against the Council’s Constitution or policies, against established practice, or about improper conduct.
1.3The Whistle-Blowing Policy is part of the Borough’s overall Anti-Fraud & Corruption Strategy. It is proposed that a separate report on the effectiveness of the Anti-Fraud & Corruption Strategy (including pro-active anti-fraud arrangements) will in future be brought to Audit Committee by the new Head of Audit and Management Assurance.
2.DECISIONS REQUIRED
2.1Members are asked to note and consider the
a) Number, nature and outcome of Whistle-blowing referrals investigated
b) Programme of activities planned to further promote the Whistle-Blowing Policy
2.2Members are also asked to approve the proposal to bring a separate report to Audit Committee on the effectiveness of the Borough’s Anti-Fraud & Corruption arrangements.
3.WHISTLEBLOWING REFERRALS
3.1A total of 5 whistle-blowing referrals were investigated by the Borough during the year. Necessary and appropriate action was taken in respect of all of them. 2 referrals related to improper conduct (with appropriate courses of action taken against employees involved); 1 related to a breach of Council Policy and has led to the strengthening of internal control arrangements; 1 referral related to a breach of Financial Regulations & Procedures (with no evidence of fraud or corruption or loss to the Borough) and; 1 other referral investigated was found to be unproven.
3.2No patterns of concern or significant internal control issues have been identified from Whistle-Blowing investigations completed this year. There is a decrease in the number of referrals received this year (2007/08: 8 referrals investigated) and a programme of activities to further promote the Whistle-Blowing Policy and raise general fraud awareness is therefore planned (as outlined in section 4).
3.3Employees making referrals under the Whistle-Blowing Policy are entitled to statutory protection under the Public Interest Disclosure Act 1998 and must be protected from victimisation or harassment. There are no indications or claims that any of the 5 ‘whistle-blowers’ has suffered disadvantage from making a referral.
4.PLANNED ACTIVITIES
4.1It is proposed that, subject to Audit Committee approval of this report, a further Intranet message will be issued to all employees to promote the Whistle-Blowing Policy.
4.2Additional methods to publicise the Borough’s Anti-Fraud message (Fraud Surveys/ Newsletters/ Posters/ Pay-slip notifications) will be considered throughout the year.
4.3The Council will continue to explore ways to publicise the Anti-Fraud message in the wider community (e.g. press articles, local advertising campaigns).
4.4Head of Financial Services and new Head of Human Resources will continue to monitor, review and assess the effectiveness of the Whistle-Blowing Policy and related procedures and will bring any proposed updated policy to this Committee for approval.
5.FINANCIAL IMPLICATIONS
5.1Management are satisfied that, where applicable, appropriate action has been taken to recover financial sums identified as owing to the Borough.
6.LEGAL IMPLICATIONS
6.1The Whistle-Blowing Policy has been drafted with reference to the Public Interest Disclosures Act 1998.
7.RISK MANAGEMENT IMPLICATIONS
7.1The Anti Fraud and Corruption Strategy sets out the basis for protecting public funds by ensuring the opportunity for fraud and corruption is reduced to the lowest risk. Within this, the Whistle-Blowing policy encourages all individuals to raise serious concerns.
8.EQUALITIES IMPLICATIONS
8.1There are no known equalities implications in this report.
9.CONCLUSION
9.1Appropriate action has been taken in respect of all Whistle-Blowing referrals investigated and no consistent patterns of concern or significant internal control weaknesses have been identified. It is proposed that the Whistle-Blowing Policy is further promoted through internal communications as part of a planned programme to raise fraud awareness.
Report Author:Shirley Haider, Management Auditor
Responsible Officers:Liz Wilkinson, Head of Financial Services
Carl Wilcox, Head of Human Resources
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