Blue Mountains News

Thousands of Australians detected of flood fraud

By Makayla Muscat
Archived 15 Oct 2022 - Posted: 16 Aug 2022
New South Wales has been devastated by floods this past year. Photo: Wes Warren on Unsplash
Services NSW has declined $38.6 million worth of fraudulent applications for flood relief payments, as scammers try to steal funds allocated for people devastated by flooding.

Earlier this year, intense storms and relentless rainfall across the east coast of Australia displaced thousands from their homes. With the severity of the floods still having an impact today.  

Susan Templeman, NSW member for Macquarie which takes in the Blue Mountains and Hawkesbury, has seen first-hand the impact of the devastation on her community. She is scathing in her criticism of alleged scammers. 

“I find it deplorable that anyone would take advantage of other people’s misfortune to try and make a quick buck,” she says.  

In July the prime minister announced a one-off $1,000 assistance payment to support seriously affected flood victims, But since then, thousands of Australians are alleged to have attempted to defraud the government by submitting fake documents and computer-generated images of flooded offices.  

According to the Daily Telegraph, the same photo of a mop and esky was used in thirty different claims. NSW Customer Service Minister Victor Dominello told the Telegraph last month that fraud prevention, however, has prevented payment of 98% of fake claims. 

Flood victims are still concerned that despite the success of fraud technology, the slow cash flow is stopping them from accessing key recovery grants.  

Debbie Falzon lives in Penrith, NSW and has been affected by flooding several times in the past five years. She says it is incredibly disappointing that people are gaming the system for their own financial gain.  

“I think it’s so wrong that people are chancing their luck and applying for the payment despite not being affected by the floods,” she says.  

“The money that real flood victims receive is often not enough to cover the loss. We were lucky this time, but our friends in Windsor weren’t so lucky. They’ve lost their house twice this year.”  

Susan Templeman MP represents the Blue Mountains and Hawkesbury and is especially concerned by the number of people falsely using addresses in her flood-affected electorate to access the payment.  

“I have been alerted to residents around the Windsor area receiving envelopes at their home address but listing other people’s names. These people appear to have fraudulently claimed the $1,000,” Ms Templeman said.  

“I would urge anyone who has received such a letter to either report it via the Services Australia link, or by delivering it to my office at 299 George Street, Windsor, and my team can report it for them.” 

To report fraud, visit the Services Australia website. 

Susan Templeman assisting SES volunteers during last year’s floods. Photo: supplied
 
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