Putman attempted to continue living out of the public eye after yesterday's hearing when he sprinted from St Albans Magistrates' Court trying to hide his face with his mobile phone.
He refused to comment at the £600,000 (NZ$1.2m) home in the upmarket village of Kings Langley, Hertfordshire, which he shares with his long-term partner. It is understood Putman was unemployed when he won £4,525,058 (NZ$9m) on September 26, 2009.
Sources said an investigation began after council officers became suspicious when he tried to buy his former one-bed council flat in Hemel Hempstead with cash.
Enquiries found Putman appeared to have continued claiming income support and housing benefit between September 2009 and May last year.
Yesterday, his brother, Raymond, who lives in Newport Pagnell, Buckinghamshire, said: "He was absolutely skint and then suddenly he had millions.
"He won't be happy people know about his win because he's a private person. I don't even know how much he won. He didn't even tell me about the court case. How crazy.
"I don't know if he has been managing the money but he had a BMW, then a Range Rover. There are other cars and motorcycles.
"He's also bought friends and family cars. The other week he bought seven Suzuki Swifts to give to people. That's just him. I hope he doesn't waste it all."
Putman's former partner Gail, who took his name during their time together, said he had hidden the Lotto win from her.
Miss Putman, who had a son by him before they split several years ago, said: "I never knew he'd won the Lottery - he never told me. He couldn't even pay me £5 a month maintenance.
"If he won this money and he's done this fraud, what does that tell you about him?"
Miss Putman, who lives in Borehamwood, Hertfordshire, added that she believed her former partner had fathered another son with a different woman before starting his current long-term relationship.
Neighbours of Putman's also revealed how he claimed to be a property developer.
One added: "I've been made redundant three times and when I claimed income support I had to sign on. I had to show them I'd been trying to get a job and going for interviews. How did he claim it for 20 months without them making him get a job?"
Last night it appeared Putman was trying to sell his home. A message posted anonymously on buildinglanduk.co.uk said his house, garden and even his mobile home were up for sale.
It said: "I'm not sure how to explain what I have without someone looking but I have a four-bed detached house with a garden which has a mobile home on."
During yesterday five-minute hearing, George Brooker, chairman of the bench, said the case would be adjourned for sentencing until July 3.
The Department for Work and Pensions said: "We cannot comment until sentencing."
- DAILY MAIL