Home Office: Code of Practice to close multi-million pound stolen phones loophole

23 Jul 10

Crime prevention minister James Brokenshire has announced a new deal to stop an estimated 100,000 stolen mobile phones from being sold to recycling companies. Brian Sims reports.

By Brian Sims

The agreement aims to close a loophole which sees thousands of phones - worth an average of £40 each – sold to recyclers each year.

Currently, 90% of handsets reported stolen in the UK are blocked across all networks within 48 hours of reporting, making them useless in the UK to criminals trying to sell them on.

However, blocked phones can still be used abroad and, as the recycling industry exports many of the handsets it buys, this has subsequently created a new market for stolen phones.

Companies who sign up to the new Code of Practice will work closely with police and check the details of every phone they’re offered against the National Mobile Phone Register, a database of all phones reported stolen. If the handset has been reported as stolen, the company will refuse to buy the phone and details of the handset and the person trying to sell it to them will be passed on to the police for further investigations.

The National Mobile Phone Register

The National Mobile Phone Register is linked to three national databases – the industry database of mobiles that have been blocked, the police database of mobiles reported stolen and a voluntary public register of ownership details of mobiles (Immobilise). Phones can be searched across these databases to identify them, establish if they are lost or stolen and returned to their rightful owner.

Speaking about this move, Home Office crime prevention minister James Brokenshire said: "Tackling crime effectively is not just a job for Government alone. Action at all levels of society is needed to make a real difference. This new agreement is a perfect example of what this approach can achieve.”

Brokenshire went on to say: "By joining forces with the police, the mobile phone industry is closing a multi-million pound loophole that has been exploited by criminals. The industry should be congratulated. Alongside the impressive work on blocking stolen phones, this Code of Practice will make mobile phone theft an even less profitable crime."

Response from the Mobile Industry Crime Action Forum

By way of response, Jack Wraith – chairman of the Mobile Industry Crime Action Forum – commented: "The industry welcomes this very important initiative on the part of the recyclers. It not only closes off an avenue used by criminals to gain from theft of mobile phones, but also demonstrates those recyclers who have signed up to the scheme are serious in their efforts to support the continuing battle against mobile phone theft."

Commander Simon Pountain, from the Association of Chief Police Officers, added: "As a result of the hard work and commitment of the recycling and mobile phone industry, combined with the work of the Home Office and the police, there’s now the possibility of detecting up to a further 100,000 offences countrywide.”

Pountain continued: "To date, numerous arrests have taken place and stolen goods have been recovered. Significant offences such as robberies and burglaries have been solved through using this new system, which has also led to arrests for murder. This is a great example of partnership working at its best for the benefit of the wider community."

Those companies that sign up will be endorsed by the industry so consumers can have confidence in the recycler with whom they are dealing. So far, 20 mobile phone recyclers representing 90% of the industry have committed to the agreement.

Recyclers who've signed on the dotted line

The recyclers who have signed up thus far are: 20-20 Mobile, Anovo, Earthmobile, Eazyfone, EMC Recycle, Regenersis, Fone Hub, Greener Solution, Mazuma Mobile, Mobile Phone Exchange, Mobile Phone Recycling Organisation, Money for Your Phone, Redeem plc, the Royal Mail, RPC Recycle, SHP Solutions, West One Technology, The Carphone Warehouse and Virgin Media.

The Code of Practice – which has been developed by the Telecommunications Fraud Forum (TUFF), the Government and the police – will be administered by TUFF, who will monitor it to ensure that adherence to the guidelines contained therein is maintained.

Sanctions will be taken against companies that do not comply with the Code.

For more information about the Code of Practice visit the link on the right hand panel of this page

Other crime reduction initiatives resulting from Government and industry collaboration

the Mobile Phone Industry Crime Reduction Charter, which resulted in handsets reported stolen being blocked within 48 hours across all UK networks
the creation of the National Mobile Phone Crime Unit to help develop and roll-out Best Practice to police forces across the country, as well as encourage and support early engagement with the mobile phone industry
the M-Commerce Best Practice Guidelines, launched in August 2009, whereby the mobile and banking industries came together to agree some basic principles to ensure that the roll-out of this technology reduces the risk of crime

According to online due diligence specialist Recipero, which provides information to the National Mobile Phone Register, at least 100,000 handsets with an average value of £40 that have been reported stolen to the police by their rightful owner are recycled every year.

James Brokenshire on the Home Office's new stolen mobile phone initiative