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There is a significant distinction between bringing a dishonest claim, ie one that is fundamentally dishonest and being a claimant who happens to be dishonest. The former is embarking on an exercise in perjury and should expect no judicial sympathy at all. However, a prisoner who has been convicted of an offence of dishonesty should surely not be denied compensation if they are the victim of a wrong whilst serving their sentence merely because they were only in prison by dint of their dishonesty. That could not be right.
Obviously as with most legal issues there is a grey area between the extremes of a fraudulent claim and a claim by someone who probably has committed a dishonest act at some point in the past but who, as with Ms Grondona, has not even been convicted of any crime. No doubt Ms Grondona was quite relieved but the decision must be correct and should be unsurprising.

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