The Australian Federal Government and the National Anti-Corruption Commission (NACC) are taking steps to enhance integrity and address corruption. In this blog, we discuss the Commonwealth Fraud and Corruption Control Framework 2024, review recent progress made by the NACC, and examine public perceptions from the Trust and Satisfaction in Australian Democracy – 2023 National Survey.

Commonwealth Fraud and Corruption Control Framework 2024

The Australian Federal Government is set to introduce the Commonwealth Fraud and Corruption Control Framework 2024, effective from 1 July 2024. This framework updates and expands existing regulations to enhance governance and accountability within Commonwealth entities. Initially developed to manage fraud, the framework now also includes measures against corruption, requiring a comprehensive approach to both preventing and addressing these challenges. This expansion supports broader integrity reforms aimed at enhancing public sector standards and restoring public trust in government.

Public Service Minister Katy Gallagher emphasised the government's commitment to these reforms. “Fraud and corruption can occur in any Australian Government body,” she stated, highlighting the need for robust mechanisms to protect community resources and support the delivery of fair and effective public services.

According to the Australian Public Service Academy, the framework consists of the:

1. Fraud and Corruption Rule (section 10 of the Public Governance, Performance and Accountability (PGPA) Rule 2014) – a legislative instrument binding for all PGPA Act entities. It sets out the minimum standards for accountable authorities of PGPA Act entities in relation to managing the risk and incidents of fraud and corruption.
2. Fraud and Corruption Policy – an Australian Government Policy which is binding for all Non-Corporate Commonwealth Entities. Corporate Commonwealth Entities and Commonwealth Companies are encouraged to adopt the Fraud and Corruption Policy as better practice.
3. Fraud and Corruption Guidance (Resource Management Guide 201 – Preventing, detecting and dealing with fraud and corruption) – provides further guidance on the Australian Government’s expectations for fraud and corruption control arrangements for all Commonwealth entities.

These three elements work together to provide the legislative basis, procedural norms, and detailed guidance necessary for the comprehensive management of fraud and corruption risks.

The integration of these new measures aligns entity obligations with recent updates such as the National Anti-Corruption Commission Act 2022, Commonwealth Risk Management Policy 2023, and the Australian Government Investigation Standard 2022. The framework allows entities to tailor their approach to fraud and corruption control based on specific risks and operations, focusing on areas with the highest risk. This targeted and proportionate approach aims to enhance the impact of the entities' anti-corruption efforts by directing resources towards critical areas.

Learn more about the Fraud and Corruption Control Framework 2024 here.

NACC Progress

Following investigations conducted by the NACC, three individuals have been convicted. The NACC assumed responsibility for these cases on 1 July 2023, taking them over from the Australian Commission for Law Enforcement Integrity. The Commonwealth Director of Public Prosecutions proceeded with the prosecution of all three cases.

NACC statistics published 1 May 2024:

• 2,858 referrals received.
• 384 referrals currently under assessment, including 23 preliminary investigations.
• 18 active corruption investigations.
• Oversight or monitoring of 19 investigations by other agencies.

Critics and supporters alike recognise the NACC's important role, though some argue for broader powers or increased transparency in its operations. This dialogue is essential in shaping a robust anti-corruption body.

Trust and Satisfaction in Australian Democracy – 2023 National Survey

The NACC's progress and the announcement of the Commonwealth Fraud and Corruption Control Framework 2024, coincide with the release of Trust and Satisfaction in Australian Democracy – 2023 National Survey, revealing public perceptions of democracy and governance. While the overwhelming majority surveyed recognise the importance of democracy, concerns regarding corruption and integrity persist, underscoring the importance of robust anti-corruption measures.

Further findings from the survey include:

• Most Australians value living in a democracy and are satisfied with the way democracy works in the country.
• The vast majority of Australians hold the fundamental values of democracy in high regard.
• There is a high degree of variation in trust levels towards public institutions.
• Australians who report greater confidence in their civic knowledge are more likely to have high levels of satisfaction with how democracy is working.

You can read more about Australia’s place in Transparency International’s Anti-Corruption Index in our blog earlier in the year. Transparency International emphasises Australia's crucial juncture in its corruption fight, urging continuous efforts to improve integrity. By fostering a culture of transparency and ethical conduct, Australia can reinforce democratic values and uphold accountability and transparency principles. As the nation navigates this pivotal moment, the commitment to integrity, trust, and good governance remains paramount in shaping Australia's future.

In response to the survey, Assistant Minister Patrick Gorman said that “Australian democracy is always worth strengthening.”

Resources

• APS Prioritise Integrity Reforms
• Ministers report of Trust and Satisfaction in Australian Democracy Survey
• NACC – Weekly update: referrals, assessment and investigations
• New Commonwealth Fraud and Corruption Control Framework
• Revealed: The three people convicted after probes by the new NACC (The Mandarin)
• Trust and Satisfaction in Australian Democracy – 2023 National Survey

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A participant in the UN Global Compact, CourtHeath seeks to raise awareness about the Sustainable Development Goals and the principles of the Global Compact with business and government organisations in Victoria.

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