Spreadsheet to detect bushfire grants fraud ‘rudimentary’, inquiry hears | LucyCormack
Service NSW is still using Excel spreadsheets as a fraud control measure despite experts advising against the practice after more than $170 million of potential fraud was identified across bushfire and COVID-19 grants programs.
Initial investigations identified potential fraud of up to $64 million in the bushfire response program.Their initial investigations identified possible fraud to the tune of $106 million for COVID-19 response grants and $64 million in the bushfire response program. The latter figure has been revised down by the department to $61 million.
At the time, Mr Murphy said the only tool he was aware of Service NSW using to identify fraud was a “rudimentary” Excel spreadsheet, which was used to manually review anomalies.“Service NSW didn’t have what I call a protracted or complex investigation capability and weren’t able to understand the complexities involved in ... an investigation,” he said.
“As a long-term solution, no it’s not,” Mr Murphy said. “They were relying on a spreadsheet, that’s the salient point ... it should be better than that.” Before the Core Integrity contract with the government was terminated due to funding issues, he said he gave advice to “throw more money and more resources at this problem,” saying, “you don’t have enough”.
“It’s remarkable that more than 18 months after large-scale fraud was first identified they are still muddling along with an Excel spreadsheet as one of their primary fraud control measures,” he said.