NDIS rorted of $1B

Management stupidity and public service has bled the NDIS scheme of hundreds of $ millions.

https://www.theage.com.au/national/the-scumbag-scale-how-organised-crime-has-infiltrated-the-ndis-20220811-p5b95s.html

Australia’s most senior criminal intelligence official says organised criminals involved in drug trafficking, violence and money laundering are exploiting systemic weaknesses in the National Disability Insurance Scheme to rort it on an unprecedented scale.
In an extraordinary intervention into the national debate, Australian Criminal Intelligence Commission chief Michael Phelan has called for a new multi-agency taskforce to tackle the problem, which diverts critical funds away from some of the nation’s most vulnerable people.

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'Scumbags': Crime fighter boss unloads on NDIS fraudsters

Australian Criminal Intelligence Commission (ACIC) chief Mike Phelan says organised crime figures are making billions from vulnerable people on the National Disability Insurance Scheme.
Phelan cites intelligence that reveals disabled Australians have been extorted, threatened with violence or even involuntarily admitted to a psychiatric ward by crime syndicates seeking to steal their NDIS entitlements.
“It just sickens you,” said Phelan. “This is not a victimless crime. You’ve got to wonder how far down the scumbag scale you get before you start ripping off our most vulnerable people.”

The NDIS is a non-means-tested universal insurance program offering uncapped packages of support to people with serious disabilities, but Phelan estimates that as much as 15 to 20 per cent of the $30 billion it costs a year might be being misused. Phelan described previous estimates that scheme fraud sits at 5 per cent as “conservative”. The scheme is estimated to grow to $60 billion by 2030.
An investigation by The Age, The Sydney Morning Herald and 60 Minutes has found members of Sydney’s notorious Hamzy crime network have infiltrated the NDIS. A crime boss and drug trafficker based in both Queensland and Victoria has been trying to develop properties to lease to the scheme.
‘The violence and intimidation against these people, it’s just beyond the pale and we all should be disgusted.’
ACIC chief Mike Phelan
Pointing to inadequate scrutiny of the scheme, Phelan said the extent of rorting easily surpassed that of the pink batts and school halls scandals and involved “fair dinkum, serious and organised crime crooks”.
“When they’re not rorting the NDIS, they’re importing drugs or standing over people, extortion, committing other heinous crimes,” he said. “North of $1 billion is being ripped out of the system.”

Phelan said money fraudulently skimmed was being “used for the wholesale purchase of narcotics from overseas” and to “obtain seed funding for their [organised criminals’] broader illegal activity”.
The crime-fighting boss said his agency had detected “ghosting”, or the creation of fake NDIS clients, the systemic inflating of invoices, payment for services that are never provided and networks of facilitators, including doctors, pharmacists, training facilities, accountants and lawyers, who help criminals exploit the scheme.