Section 354 — Social Security Act 2018: Recovery of penalty from beneficiary who obtains by fraud amount in excess of entitlement

354 Recovery of penalty from beneficiary who obtains by fraud amount in excess of entitlement (1) This section applies to a person if— (a) the person obtained a payment, or received a credit or an advance, in excess of the amount to which the person was entitled; and (b) in MSD’s opinion, that payment, credit, or advance in excess, was obtained by fraud. (2) MSD may recover from the person, by way of penalty that is a debt due to the Crown, an amount not exceeding 3 times the amount in excess. (3) MSD’s discretion may be exercised in respect of a particular case, or in respect of a particular class, or any particular classes, of case. (4) This section does not relieve the person from any other liability in respect of any fraud committed by the person. (5) A person must be taken for the purposes of this section to have obtained a payment, credit, or advance by fraud if the person— (a) has made a statement knowing it to be false in a material particular, or has knowingly said or done anything or omitted to do or say anything for the purpose of misleading MSD in the administration of this Act, for the purpose of obtaining a payment, credit, or advance, under this Act; and (b) has, as a result of that statement, action, or omission, received that payment, credit, or advance. Compare: 1964 No 136 s 86(2), (2C)