The Minister for Home Affairs and Justice Brendan O’Connor has launched new measures to help Commonwealth agencies prevent and combat fraud. 

 

The new anti-fraud measures build on a range of measures by individual agencies and include:

  • shorter and simpler Commonwealth Fraud Control Guidelines outlining agency obligations;
  • a new central online portal, Commonwealth Fraud Control Information Online, where agencies and the public can find fraud control information.

 

The Australian Institute of Criminology’s 2008-09 Fraud Against the Commonwealth report shows that there were about 800,000 incidents of fraud in 2008-09 –  a reduction of just under 10% compared to the previous financial year.

 

Commonwealth agencies reported losses of about $597 million in that financial year - a drop in losses as a proportion of government expenditure compared to 2007-08.

 

The report also shows that the number of dedicated fraud control staff was boosted by 38% in 2008-09, with 827 more workers employed to combat fraud against government departments.

 

The new Commonwealth Fraud Control Guidelines make clear to agencies their obligation to thoroughly investigate, and if needed, prosecute cases of fraud.

 

All Commonwealth agencies face the risk of fraud, but especially those offering financial support programs, and through arrangements with contractors and suppliers.  There is also a risk of fraud from staff within Commonwealth agencies.

 

The new measures coincide with the release by the Australian National Audit Office (ANAO) of a Better Practice Guide for fraud control in Australian government entities, designed to complement a recently updated version of the Commonwealth Fraud Control Guidelines.

 

Development of the Better Practice Guide followed the closure of the home insulation program amidst claims of fraudulent activity such as claiming for insulation installations which had not been undertaken.

 

The Guide provides program-specific assistance on how to manage fraud risks at each stage of the program life cycle and includes case studies and practical examples to assist entities to improve their fraud control practices. Guidance on initiatives to combat the rapidly emerging problem of identity fraud is provided in a dedicated chapter. The ANAO report, Fraud Control in Australian Government Entities: Better Practice Guide is available at www.anao.gov.au.

 

The AIC’s 2008-09 Fraud Against the Commonwealth report is compiled from a confidential survey of 149 Government departments and agencies. The report has been released publicly for the first time following a Freedom of Information request. It is available at www.aic.gov.au.

 

The Fraud Control Guidelines and Fraud Control Information Online are at https://fraud.govspace.gov.au.