NSW probes six foster-care charities over alleged misuse of public money

A forensic review of a New South Wales foster-care charity uncovered $40,000 spent on a chief executive's sabbatical to the US and Europe, alongside a $120,000 salary boost approved without documented board discussion. Auditors also highlighted over $98,000 in travel costs, discounted vehicle sales, sports team sponsorships, and hospitality expenses that appeared unrelated to the charity's mission. The organization, which received more than $34 million in public funding, is one of six providers under investigation for alleged financial improprieties.

Three of the other providers must satisfy new contractual requirements, while three will have their contracts terminated. NSW Families and Communities Minister Kate Washington said the findings reveal a system that diverts money from vulnerable children, prompting a staged reform of the out-of-home-care strategy up to 2030. Shadow minister Natasha Maclaren-Jones called for greater focus on early-prevention programs to reduce reliance on foster care.