NDIS infiltrated by organised crime gangs using intimidation and threats of violence against Australians
Summary
Organised crime gangs are using the National Disability Insurance Scheme (NDIS) to commit fraud, including paying kickbacks and threatening vulnerable participants. Law enforcement warns this activity risks poor care and financial losses in the $50 billion program, prompting government plans to strengthen oversight and reduce scheme growth.Key Facts
- Criminal gangs are laundering money and hiding assets through the NDIS by paying cash kickbacks to participants and families.
- Intimidation and threats of violence are used against vulnerable NDIS participants.
- Allied health professionals and other intermediaries have helped gangs by preparing false or exaggerated documents for higher payments.
- Fraud includes false claims, requests made during hospital stays or imprisonment, and claims on expired plans.
- Large cash withdrawals and asset purchases from NDIS funds aim to hide criminal activity.
- People from non-English backgrounds and those with disabilities are most at risk.
- The government plans to introduce stronger provider registration rules and improve data use to combat fraud.
- The NDIS spending is growing rapidly, with projections to reach $63 billion by 2028-29, leading to planned budget cuts to slow growth.
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