US EditionAustralia agrees to record $528 million payout to victims of illegal debt recovery scheme
The Australian Federal Government's $475 million compensation for Robodebt victims marks the largest class action payout, addressing harm caused by unlawful debt recovery from welfare recipients.
- The Australian government agreed on Thursday to a $475 million settlement in an appeal related to the illegal Robodebt welfare debt recovery scheme.
- The settlement follows a class action suit brought by Robodebt victims and Gordon Legal in 2019, which was appealed after new evidence emerged during a government inquiry.
- Between 2015 and 2019, the Robodebt scheme used faulty automated algorithms to wrongly calculate debts for over 440,000 mainly vulnerable Australians, causing trauma and at least three suicides.
- Attorney-General Michelle Rowland stated that resolving the claim represents a fair and rightful outcome, and if the courts give their approval, the settlement will become Australia's largest class action agreement, potentially reaching A$548 million including legal and administrative expenses.
- The settlement raises total government repayments and compensation to A$2.4 billion, marking closure to one of Australia's worst public administration scandals but leaving accountability for scheme architects unresolved.
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Malay MailReposted by 
AlKhaleej Today
AlKhaleej Today‘Crude and cruel’: Australia settles largest class action over robodebt scheme
SYDNEY, Sept 4 — The Australian government said today it will fork out hundreds of millions of dollars to settle the country’s largest class action in history over a scheme that sent false debt repayment demands to welfare recipients.The “robodebt” scandal, which ran from 2015 to 2019, caused such distress to job seekers, pensioners, students and carers that some considered suicide.It also allegedly pushed two young men to take their own lives.T…
·Selangor, Malaysia
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Total News Sources18
Leaning Left4Leaning Right6Center2Last UpdatedBias Distribution50% Right
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- 50% of the sources lean Right
50% Right
L 33%
C 17%
R 50%
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