Seven Charged in Alleged $1.3 Billion Fraudulent Child Abuse Claims Scheme

Police allege a crime syndicate coached individuals to file fake compensation claims for historic child sexual abuse, with potential payouts totaling millions.

• NSW Police have charged seven individuals accused of orchestrating a scheme to submit fraudulent child sexual abuse compensation claims.
• Authorities allege the group, referred to as 'claims farmers,' coached former young offenders, inmates, and students to file fake claims against NSW government departments.
• The alleged scheme involved using Sydney law firms to process claims, with the syndicate reportedly standing to gain $3.75 million in payouts.
• Police estimate a significant portion of $1.3 billion in claims submitted under the scheme may have been fraudulent, with further investigations and arrests expected.
• Critics, including victim support groups, have raised concerns about the impact of the alleged fraud on legitimate survivors seeking justice and compensation.

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Australian Broadcasting Corporation The Sydney Morning Herald The Guardian 9News