Royal commission seeks out blame for Robodebt ‘shame’

As the first session of the royal commission (RC) into the shortcomings of the online compliance intervention scheme — better known as “Robodebt” — concludes this week in Brisbane (31 October to 11 November), Bill Shorten MP has again highlighted it as having been “illegal” and “unethical”.

In a written statement issued on Wednesday (9 November), the federal member explained: “Lives were ruined, some families are adamant they lost loved ones in the aftermath."

“It was a tragic moment in Australian government public service history.

“Menacing debt demands from the government can create massive pressure on vulnerable people.”

The long-awaited RC comes after the Governor-General, His Excellency General the Honourable David Hurley AC DSC (Ret’d), issued letters patent on 18 August 2022, which established the Royal Commission into the Robodebt Scheme.

Catherine Holmes AC SC was appointed as the royal commissioner and she is required to produce a final report by 18 April 2023, the papers outlined.

Witnesses invited to give evidence in the first hearing block included:

• Matthew Flavel, deputy secretary, Social Security Department of Social Services
• Christopher Birrer, deputy chief executive, Services Australia
• Scott Britton, former national manager, compliance risk, Department of Human Services
• Jason Ryman, former director, compliance risk branch, customer compliance division, Department of Human Service
• Serena Wilson, former deputy secretary, Social Security Department of Social Services
• Finn Pratt, former secretary, Department of Social Services; former secretary, Department of Human Services
• Kathryn Campbell, former secretary, Department of Social Services; former secretary, Department of Human Services
• Annette Musolino, Services Australia
• Genevieve Bolton, chair, Economic Justice Australia
• Katherine Boyle, executive director, Welfare Rights Centre, NSW, Sydney
• Catherine Eagle, principal solicitor, Welfare Rights and Advocacy Service, Perth

In the Name of the Father

Mr Shorten equated the plight of many of those adversely affected and wrongly “accused” of debt by the Robodebt scheme to the main characters in the 1993 Oscar-nominated true-life drama movie In The Name of The Father.

He added: “There is an ethos in Australia that the Government always has its people’s best interests at heart and, in legal matters, is a model litigant.

“At the conclusion of the first week of the Robodebt royal commission public hearings, which commenced last week, Australians have learnt that the previous Coalition government received departmental and legal advice that indicated the Robodebt scheme was unlawful from its start.

“The reckless Robodebt scheme used a faulty computer algorithm to create unlawful fake debts against hundreds of thousands Australians.

“It was created in a desperate attempt to deliver a Budget surplus that never arrived, at the expense of the lives and livelihoods of the poorest and most vulnerable people in the nation.”

Measures needed to prevent similar failures

In August, Prime Minister Anthony Albanese announced the $30 million royal commission into Robodebt, to consider, among other things, decisions made by those in positions of seniority for the scheme.

Robodebt is estimated to have raised debts of at least $1.76 billion against 433,000 Australian citizens.

It was shuttered after a successful class action (which Labor helped organise) that led to money being repaid to impacted victims. 

The Robodebt royal commission will look at:

• The “establishment, design and implementation” of the scheme; who was responsible for it; why they considered Robodebt necessary; and, any concerns raised regarding the legality and fairness.
• The handling of concerns raised about the scheme, including “adverse decisions made by the Administrative Appeals Tribunal”.
• The outcomes of the scheme, including the harm to vulnerable individuals and the total financial cost to government.
• Measures needed to prevent similar failures in public administration.

[Related: Royal commission announced into Robodebt]