Revealed: the truth behind dodgy Centrelink robo-debts

Independent MP Andrew Wilkie has written again to the Commonwealth Ombudsman, this time with explosive revelations about the shambolic and dysfunctional process for raising and checking debts as part of Centrelink’s robo-debt scheme.

“We already knew that robo-debt was a flawed system,” Mr Wilkie said. “Now we know just how bad it is and how little thought clearly went into the process.”

“No wonder my office continues to be inundated with hundreds of people who’ve received bogus debts. The system makes up a debt and it’s up to the victim to prove the bureaucracy wrong.

“And today we learn just how poor the system is and some of the real reasons that people are being hit with these dodgy debts.

“I’m grateful that the Commonwealth Ombudsman has thoroughly investigated this scheme when I’ve raised it in the past. But clearly there is enough new information here for the Ombudsman to re-open the investigation, and enough damning evidence here for the Government to intervene and bring Centrelink into line.”

Issues raised include:

– staff not being given appropriate training for using the debt recovery system, including a complete lack of mental health, suicide prevention or domestic violence response training;

– a poor procedure for answering technical questions, leading to customers being given incredibly inconsistent advice;

– a confusing system for checking debts;

– staff being told to phone customers to tell them they’ve been hit with a debt before the debt has been checked; and

– Centrelink assuming that a letter notifying a debt has been received, when in many cases it’s been sent to an address that is years out of date and no effort is made to check the address.

A copy of Mr Wilkie’s letter to the Ombudsman, with personal information redacted, is attached.