Jurist Australia health minister orders Medicare review after allegations of over $5B misspent

[Dadparvar]

Australia Minister for Health and Aged Care Mark Butler Tuesday announced an investigation into the nation’s Medicare system after a joint investigation by expert Margaret Faux, the Australia Broadcasting Corporation, the Sydney Morning Herald and the Age alleged that an estimated $8 billion AUD ($5.031 billion USD) is misspent each year.

Butler suggested that Faux’s figures align with previous audits conducted by the Australian National Audit Office and acknowledges that, due to the scale of Medicare, the system will inevitability have some misuse.

Butler announced:

All governments must apply strict compliance standards to any publicly funded system – including Medicare – to ensure that the small minority that do the wrong thing are picked up quickly and dealt with. In light of reports in the Channel 9 papers today, I’ve asked my Department to provide me with an analysis of Dr Faux’s work, and a report on the Department’s existing compliance, audit and Professional Services Review programs.

It is unknown what steps Butler will take after receiving the report.

Medicare is Australia’s public healthcare system; it covers specific medical services like doctors fees and the cost of medications. Tax-payers fund this program through the Medicare Levy system in which approximately 2 percent of eligible people’s taxable income is paid to fund the national system. Some private health insurance holders are eligible for a tax rebate on their Medicare Levy.

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