Basic allowances for housing (BAH) benefits are among the most valuable benefits provided to military service members. They can receive financial support for housing when they rent on the civilian market instead of living in military housing on base. For those with spouses and children, BAH benefits help make a normal family lifestyle more attainable.
Especially when living in a location with a high cost of living, as is the case across Hawaii, the BAH benefits available to service members can prove invaluable. They may qualify for thousands of dollars each month to help them pay for private housing.
Unfortunately, the economic value of BAH benefits makes them a common source of fraud and controversy as well. Service members can end up facing court-martial proceedings and serious consequences when accused of inappropriately obtaining BAH benefits. The following are some of the forms of fraud associated with military BAH benefits.
Misrepresenting housing arrangements
There are several ways for service members to mislead the military about their housing. They might work out a kickback scheme with a landlord who they know personally. They may sign a lease that doesn’t actually reflect where they live or how much they pay. Providing inaccurate information about living arrangements and housing costs could lead to fraud allegations.
Misrepresenting family circumstances
BAH benefits change depending on a service member’s family. Those with spouses and dependent children qualify for more robust benefits than single individuals. Service members who misrepresent their family circumstances may receive more BAH benefits than they technically deserve. If their misrepresentation comes to light, they may end up facing fraud charges.
Seeking benefits in a non-pay scenario
Service members who have been subject to disciplinary action may lose the right to pay or benefits temporarily. Some people continue claiming BAH benefits and other indirect forms of pay while they have non-pay status. Service members who engage in that activity could be at risk of benefit fraud accusations.
Benefits fraud can result in serious consequences for service members. Responding assertively to allegations of fraud, larceny or other financial crimes can be crucial for those who want to continue a military career or avoid disciplinary actions.