Law against fraud passed on child benefit

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A new law is supposed to make it more difficult to get child benefits through forged documents. The Bundestag also decided to extend the authorities’ powers in the fight against undeclared work and wage dumping.

Family funds can stop child benefit payments in the event of suspected fraud. The Bundestag has one legislative change decided. Of the 651 MPs present, 449 voted in favor and 62 against, with 140 abstentions.

The family funds are thus empowered to suspend payment of child benefit if suspected of fraud – for example in the case of falsified documents or pseudo-employment contracts.

In addition, newly arrived EU citizens will only be entitled to child benefit in the first three months if they can prove their income. The Union faction said these measures would prevent incentives to come to Germany just for child benefit.

Fierce debate on EU regulation

EU citizens are entitled to child benefit in the country in which they work or reside. This also applies if the child lives in the home. This EU regulation has been the subject of discussion for years, partly because child benefit varies widely across the EU.

When cases became known that child benefit was obtained with false information or falsified papers, the discussion became more heated.

Fight against illegal employment

Illegal employment is also to be curbed with the new law. Investigations and audits by the Financial Control Illegal Work (FKS) are expanded. Specifically, the FKS should already be active in initiating and not only when illegal employment is being carried out – for example directly at the so-called day laborer exchanges. To this end, the staff should be increased significantly.

The Federal Government says so employee better protect against illegal wage practices. In addition, undeclared work leads to significant losses in social security and tax revenue.

MDR CURRENT RADIO | June 06, 2019 | 07:15 a.m.

Last updated: June 6th, 2019, 5:50 p.m.

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14 comments

07.06.2019 14:33 peony 14

In recent months there have been numerous headlines that deal with the sometimes massive fraud in child benefits by EU foreigners. Germany pays for young people who sometimes do not even exist. Millions of dollars flow away abroad never to be seen again. Due to the fact that in this EU-wide comparison, generous 194 euros are paid for the first and second child, 200 euros for the third and each further claim to 225 euros, a large sum is quickly added up for large families.
We must continue to subsidize foreign countries with child benefits. In Romania, Bulgaria or other poorer countries, people are happy to have purchasing power that can only be described as rich in terms of the cost of living there. All the more attractive is the fraud or the temptation to register the offspring with us. The problem is growing. In 2017, around EUR 350 million child benefit was paid into accounts abroad –

we ask you to cite sources for your claims.
Otherwise, we refer to the Netiquette (http://www.mdr.de/service/kommentarrichtlinien100.html), according to which non-verifiable claims are not desired and may be moderated.

07.06.2019 14:25 peony 13

All for the good of the people, where no plaintiff or judge.

07.06.2019 04:56 On the sunny side of life 12

a law for cheating that is now really cheating,

is just as helpful as a no-weapons zone, where you really cannot carry weapons.

In my opinion there are sufficient laws, you just have to (want to) apply them!
No new laws will help.

06.06.2019 20:27 snowman – dear "right" as for sale 11

A fraud law is passed. The words slowly run out. What a madhouse, but the inmates wanted it that way, they had a choice.

06.06.2019 19:22 yokes 10

This government is completely incapable.
Child benefit fraud has long had a very thick bar without any loophole. Without false pity.
But no – to pass such tough laws, for the good of our citizens – our super politicians are unable or unwilling to do that.
Fortunately for us citizens there is still an alternative that is there for our own country. They are not dreamers and not good people. This is no longer appropriate today.

06.06.2019 18:57 Hossa 9

When such issues address the AfD, it is called populism and xenophobia.

06.06.2019 18:22 Carolus Nappus 8

Great headline. Do you need an extra fraud law? And I thought fraud was always prohibited and punishable. Or was this only true for people who had been living here for a long time?

06.06.2019 17:10 inquiring pensioner 7

I can not understand that our politicians should have ever made and passed bad laws?

Who just got the child benefit again??

06.06.2019 10:39 Michael Möller 6

interesting article that raises some questions.
1. why only now; 2. with which Personnel should be implemented or checked if there are allegedly no planning positions available, so the staff is missing; 3. Why is it not immediately acted correctly and a real law is made which then existed for decades and also existed against Brussels.

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