Australian Federal Police have charged five people as part of an investigation into $235 million allegedly defrauded from federal agencies including the National Disability Insurance Agency, following raids across Australia over the past three months.
Police allege the money was taken from the NDIA, Services Australia, the Department of Veterans' Affairs and the Department of Education through claims for rebates and benefits for services that were either not provided or only partially delivered. Officers searched 26 locations in Melbourne, Sydney, Adelaide, the Central Coast in NSW and rural Queensland, seizing digital devices, documents, and hundreds of thousands of dollars in cash, silver bullion and jewellery.
The AFP said the operation involved more than 100 police officers and more than 150 Commonwealth department personnel, with support from the NSW, Queensland, South Australia and Victoria police forces. AFP Detective Acting Superintendent Stephen Raper said defrauding government agencies amounted to stealing from the taxpayer. "While the majority do the right thing, there are groups in our country who selfishly rort the system for their own personal gain," he said.
Among those charged is a female NDIA employee who allegedly provided 78 NDIS participant records without authorisation to NDIS providers she knew, who the AFP says profited from NDIS-funded revenue. She will face Adelaide Magistrates' Court in December accused of abusing public office. A man in rural Victoria is alleged to have taken $700,000 from the NDIS over two years by creating two businesses to defraud his own plan, submitting false invoices for services he claimed to have received and distributing the funds into personal bank accounts. He will also face court in December.
Three Sydney-based Chinese nationals, all in their 20s, were charged with one count each of dealing in proceeds of crime. Police allege they collected Services Australia user details through a phishing scam that directed victims to a fake myGov website, then redirected their support payments, making more than 3,000 fraudulent transactions and stealing $2.5 million from the federal government since March 2025.
An NDIA spokesperson said the agency had strengthened its systems to detect suspicious claims earlier. "NDIS funding is for participant supports, not the pockets of those seeking to exploit the scheme," the spokesperson said.
The AFP said its investigations also include four other NDIS providers and one NDIS plan manager alleged to have claimed $100 million in funding since 2019. No arrests have been made in that matter. Officers said they had detected money-laundering methods including ATM cash withdrawals of about $5.4 million, gift card purchases over $1 million and purchases of gold bullion.
A separate alleged NDIS fraud syndicate is suspected of claiming $6.7 million in financial benefits from bogus claims totalling about $83 million. No arrests have been made, but the AFP said officers searched two properties in Liverpool and Wakeley in Sydney and said there were six people of interest. The investigations also include a probe into a Sydney-based family day care service suspected of claiming child care subsidy payments for care that was not provided or was overstated.
Analysis
Why This Matters
- The charges cover alleged losses of more than $235 million across four federal agencies, with a further $100 million in suspected NDIS fraud and an $83 million bogus-claims syndicate still under investigation, so the total at stake could grow.
- Two of the five people charged are alleged to have exploited their own access to the systems: an NDIA employee accused of passing on participant records, and a man accused of defrauding his own NDIS plan.
- Court appearances are scheduled for December, while the AFP says several linked investigations continue without arrests so far.
Background
Australia's NDIS is a nationally funded scheme that pays for supports for people with permanent and significant disability, with plans administered by the National Disability Insurance Agency. Services Australia delivers payments such as Centrelink benefits and myGov accounts. Fraud against these programs has been a recurring focus for federal law enforcement, which argues that losses come out of the public purse. This operation is the AFP's account of a series of raids and charges, and the allegations against those charged have not been tested in court.
Key Perspectives
AFP Detective Acting Superintendent Stephen Raper: said defrauding government agencies amounts to stealing from the taxpayer, and that while most people do the right thing there are groups who rort the system for personal gain.
NDIA spokesperson: said the agency has strengthened its systems to detect suspicious claims earlier, and that NDIS funding is meant for participant supports rather than the pockets of those seeking to exploit the scheme.
What to Watch
- The December court appearances in Adelaide and Victoria, and whether the three Sydney defendants enter pleas on the proceeds of crime charges.
- Whether the AFP makes arrests in the two larger ongoing matters: the four providers and one plan manager suspected of $100 million in claims since 2019, and the syndicate behind $83 million in alleged bogus claims.
- Whether the NDIA details the system changes it says have already been made to flag suspicious claims.
Checked
12 claims in this story checked against 1 source: 12 supported.
Show each claim
- SupportedFive people were charged over an alleged $235 million fraud against federal agencies.Just In: “Federal investigators have charged five people as part of a probe into $235 million allegedly defrauded from welfare agencies”
- SupportedThe raids across Australia took place over the past three months.Just In: “Police raided 26 locations in Melbourne, Sydney, Adelaide, the Central Coast in NSW and rural Queensland over the last three months”
- SupportedPolice allege the funds were claimed for services that were not provided or only partly delivered.Just In: “Police allege they stole government funds from the National Disability Insurance Agency (NDIA), Services Australia, the Department of Veterans' Affairs and the Department of Education by claiming rebates and benefits for services they either did not provide or only partially delivered.”
- SupportedThe AFP said raids across Australia were part of the probe, with $100 million in alleged NDIS claims also under investigation.Just In: “The AFP said its investigations include four other NDIS providers and one NDIS plan manager who allegedly claimed $100 million in funding since 2019.”
- SupportedAFP Detective Acting Superintendent Stephen Raper said, “While the majority do the right thing, there are groups in our country who selfishly rort the system for their own personal gain.”Just In: “AFP Detective Acting Superintendent Stephen Raper said defrauding government agencies amounted to stealing from the taxpayer. "While the majority do the right thing, there are groups in our country who selfishly rort the system for their own personal gain," he said.”
- SupportedAn NDIA spokesperson said, “NDIS funding is for participant supports, not the pockets of those seeking to exploit the scheme.”Just In: “"NDIS funding is for participant supports, not the pockets of those seeking to exploit the scheme," the spokesperson said.”
- SupportedOfficers searched 26 locations in Melbourne, Sydney, Adelaide, the Central Coast in NSW and rural Queensland.Just In: “Police raided 26 locations in Melbourne, Sydney, Adelaide, the Central Coast in NSW and rural Queensland over the last three months”
- SupportedA female NDIA employee allegedly provided 78 participant records without authorisation to NDIS providers she knew.Just In: “One of the people charged is a female NDIA employee who allegedly provided 78 NDIS participant records without authorisation to NDIS providers she knew”
- SupportedThe female employee will face Adelaide Magistrates' Court in December, accused of abusing public office.Just In: “She will face Adelaide Magistrates' Court in December accused of abusing public office.”
- SupportedA man in rural Victoria is alleged to have taken $700,000 from the NDIS over two years by creating two businesses to defraud his own plan.Just In: “A second alleged offender is a man in rural Victoria who police said took $700,000 from the NDIS over two years by creating two businesses to defraud his own NDIS plan.”
- SupportedThree Sydney-based Chinese nationals in their 20s were charged with one count each of dealing in proceeds of crime.Just In: “The trio, all aged in their 20s, have been charged with a count each of dealing in proceeds of crime.”
- SupportedThe trio allegedly made more than 3,000 fraudulent transactions and stole $2.5 million from the federal government since March 2025.Just In: “Since March 2025, the group allegedly made more than 3,000 fraudulent transactions, stealing $2.5 million from the federal government.”