INVESTIGATION INTO CENTRELINK DEBT RECOVERY NEEDED

06 January 2017

Federal Member for Blair Shayne Neumann MP has backed Shadow Minister for Human Services Linda Burney’s call for the Australian National Audit Office to investigate the flawed Centrelink debt recovery system.

Mr Neumann said that while Centrelink debt was an issue that needed to be addressed, the present debt clawback system had been unfairly targeting people and causing unnecessary distress amongst Ipswich and Somerset locals.

“Since the Government has commenced this process, my staff has spoken to dozens of Ipswich and Somerset locals concerned and frightened about having to pay off huge debts they simply do not owe," Mr Neumann said.

“In the past few days alone we’ve spoken to people who have been hit by letters demanding tens of thousands of dollars out of the blue, who have been forced to try and find documents from over five years ago to try and clear their name.

“With four thousand false debt recovery letters being sent each week, it’s clear that changes need to be made.”

“By investigating the effectiveness, planning and risk management of this process we can ensure we deal with this important issue without people needing to be harassed and scared for no reason.”

Mr Neumann said that requesting an investigation had become necessary due to the failure of the Turnbull Government to respond to community concerns.

“The Turnbull Government has chosen to pretend like there isn’t a problem; however anyone who has spoken to the many Ipswich and Somerset locals who have been unfairly affected by this system knows that simply isn’t the case.

“This relentless targeting of vulnerable people is cruel, it isn’t helping, and it needs to stop.”