Media Release
Senator the Hon Stephen Conroy
Minister for Broadband, Communications and the Digital Economy
Deputy Leader of the Government in the Senate
Minister Assisting the Prime Minister on Digital Productivity
Investigation into Australian Broadband Guarantee Compliance Breach
The Minister for Broadband, Communications and the Digital Economy, Senator Stephen Conroy, today announced that his Department has moved swiftly to address alleged fraud involving two registered providers in the Australian Broadband Guarantee (ABG) program.
On 9 September 2009 the Department referred the matter to the Australian Federal Police (AFP) alleging breaches of the ABG rules by two ABG providers.
"The allegations involve significant compliance breaches in the program, including where mapping data was allegedly manipulated to change the eligibility of some customers who received subsidised services under the Australian Broadband Guarantee," Senator Conroy said.
"The Department is conducting full audits of both providers."
The ABG has assisted approximately 70,000 people to receive a metro-comparable broadband service. The Australian Government has provided funding of $250.8 million until 2012 and has committed a further $23.8 million in funds to meet strong demand in this financial year.
"This matter has not affected the successful operation of the Australian Broadband Guarantee, which continues to play a very important role in complementing the development of the National Broadband Network and delivering on the Government’s broadband commitments to regional and rural Australia," Senator Conroy said.
"The Department will continue to ensure that those funds are properly targeted to eligible homes and workplaces and that registered providers operate according to the rules of the program."
It would be inappropriate to comment further due to the ongoing matter.
Date: 08 December 2009
Contact: Tim Marshall 0408 258 457
AFP National Media Team 02 6275 7100

