BT fined £1.3 million in call fraud

BT has had to pay the Ministry of Defence £1.3 million in compensation after it was found that BT staff were calling each other on the phone in order to meet their call answering targets.

BT has been operating the phone system for the MoD, which provides telecom services to over two hundred thousand personnel.

The National Audit Office found the fraud, but an accounts committee, which is made up of MPs, are not convinced that the MoD are completely blameless in this problem.

They suggest that the MoD should have had a better grip on the way that their contractors operate and then the figure may not have been so high.

The contract for this service was won by BT back in 1997, but then in 2005 it was extended for a further five years, finishing in 2012.

Both the MoD police and BT have investigated this fraud, but no charges are planned.