Federal Court Approves $112 Million Settlement In Robodebt Class Action

Money handed back

Article heading image for Federal Court Approves $112 Million Settlement In Robodebt Class Action

The Federal Court has approved a $112 million settlement in the robodebt class action.

The cash will be shared by around 380,000 Aussies caught up in the Centrelink scandal, dubbed a shameful chapter in the treatment of the nation's poorest people.

$1.7 billion wrongly seized by the Federal Government has been handed back. 

Peter Gordon from Gordon Legal says significantly more in invalid debts and claims have been returned.

"It's good that we've been able to hold them to account and that $1.7 billion of money that the Commonwealth government improperly and unlawfully either took or demanded from Australia's most vulnerable citizens has now been returned to its rightful owners," he said.

In 2016, the Federal Government switched to an automates income averaging system which ended up producing false information to hundreds of thousands of Aussies. 

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Amber Lowther

11 June 2021

Article by:

Amber Lowther

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