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Child support fraud neglected: Ombudsman.



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Media Release

13 November 2008

Child support fraud neglected: Ombudsman Minister for Human Services, Senator Joe Ludwig, today thanked the Commonwealth Ombudsman for his report into the Child Support Agency’s response into allegations of customer fraud.

“The Rudd Government has no tolerance for people who seek to dodge their child support responsibilities by misleading the CSA and their former partner.”

“If there is evidence of deliberate fraud, I expect the CSA to refer the matter to the Commonwealth Director of Public Prosecutions.”

“I have asked the Secretary of my Department to prepare a substantive response to the Ombudsman’s recommendations.”

“I am committed to a tough compliance strategy that ensures all paying parents meet their child support obligations in full and on time.”

“On 23 June 2008, I unveiled a range of new initiatives aimed at boosting the collection of payments to ensure children of separated parents receive the support they need.”

“While most parents do the right thing, these measures will help the CSA pursue parents who unfairly advantage themselves through inaccurate income reporting and non payment.”

The initiatives include:

• the extension of covert optical surveillance

• a new tax regulation requiring both parents to lodge a tax

return

• new arrangements to seize assets

• stopping salary sacrifice being used to minimise child support

obligations.

“These measures will ensure the children of separated parents receive the support they deserve.”

Media contact

Joe Scavo — 0413 800 757