A 44 year old woman claimed more than £18,000 in housing and council tax benefit, after claiming she was renting the house she owned, a court heard.
Blackburn magistrates were told that Samim Umerji Mohmed claimed the benefits in the name of Samim Ahmed and said her landlady was a Mrs Mohmed.
The court was told that the fraud was only uncovered after eight years, but since Mohmed had been charged in February she had managed to repay more than £12,000.
Mohmed, of Whalley New Road, Blackburn, pleaded guilty to two charges of obtaining property by deception and asked for six other charges to be taken into consideration.
She was ordered to complete 120 hours community service and pay £5,975 compensation, with £541 costs.
Gemma Lloyd, prosecuting on behalf of Blackburn with Darwen Council said investigations eventually revealed that the person applying for benefit and the landlord of the property were the same person. When she was questioned, Mohmed admitted dishonestly claiming benefit and said she had done it because she had a large family in India and wanted to send the money to them.
"This was a prolonged fraud and the loss to the public purse was over £18,000," said Miss Lloyd.
Aftab Bakhat, defending, said: "Often in this type of case the local authority has difficulty recouping the overpayment.
"What you have here is someone who has shown genuine remorse and guilt and has done everything in her power to repay the money."
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