CCM8290 - Closing the Examination: Who will meet the settlement? - A couple where one is an innocent partner
Where you are satisfied that one of the partners did not know about the fraud or neglect, you must not ask that partner to repay the overpayment or pay a penalty. The settlement must be with the other partner as if he/she was a single customer.
In some cases there might have been more than one error and it is possible for a partner to be aware of one error but not another error. In these cases you will need to split the overpaid credits and penalties between them in a reasonable manner. There will then be 2 separate settlement charges for the Accounting & Payments Service, Network Unit to pursue.