A family daycare centre in Perth has had $5 million worth of assets seized by the Australian Federal Police after an investigation into alleged fraud.
The Caversham centre, which has not been named, allegedly claimed fraudulent childcare subsidy payments, with $4.2 million across two bank accounts and their property restrained by officers.
The AFP worked with the Department of Education to seize more than $4 million from the centre.Credit: Australian Federal Police
The AFP-led Criminal Asset Confiscation Taskforce was launched after a federal Education Department investigation – codenamed Operation Velo – uncovered the alleged false subsidy claims.
On Wednesday morning, several criminal search warrants were executed across Perth’s northern suburbs.
AFP Acting Commander Amelia McDonald said the taskforce worked closely with criminal investigators from multiple agencies to identify and restrain suspected proceeds of crime.
“The AFP’s ability to break the cycle of illicit profit sends a strong message to criminals that their luxury lifestyles are an illusion which will inevitably disappear after police knock on their door,” she said.
“Their actions drive up costs and hit the pockets of hardworking, honest Australians – and it will not be tolerated.
“This is not a victimless crime and robs the Australian public of government funds that support essential services such as health and education.”
The funds derived from the sale of confiscated assets are placed into the Confiscated Assets Account which is managed by the Australian Financial Security Authority.
These funds can be distributed by the attorney-general to benefit the community through crime prevention, intervention or diversion programs or other law enforcement initiatives across Australia.
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