Over paid and Overseas

Seems like there are more Peter Freedom’s out there roaming the world on our ticket. National needs to boot the MSD wallies in the arse for ceasing data-matching.

Almost $19 million was overpaid in one year to people who left New Zealand while still receiving a benefit, Government documents show.

The true figure could be higher, as Social Development Ministry staff were told to stop looking for overpayments and concentrate instead on clearing the backlog of debt.

The data, revealed in the Office of the Privacy Commissioner’s annual report this month, shows weekly data checks with the Inland Revenue Department found 54,032 possible matches for overpaid clients.

Of these, 28,325 had been overpaid a total of $18,915,102 – an average of $667 each.

The commissioner’s report noted that the number and value of overpayments found by the ministry had doubled since the previous year.

“In September, MSD decided to cease matching work on some client cases (in advance of system changes) with Inland Revenue, and reallocate resources to this programme to clear a backlog of work.”

The ministry’s general manager of integrity services, Justine Auton, said it was a beneficiary’s duty to advise staff if they were leaving the country.

“These are clients who failed to meet their legal obligation and tell us that they were going overseas,” she said.

  • MrV

    I believe there is an organisation called Interpol that might prove useful.

  • Gazzaw

    The system seems to operate well with student loan debtors departing NZ. The IRD forwarded a letter to our son within two months of his departure setting out his obligations so there is obviously effective communication between the emigration authorities and the IRD. Surely it would not be rocket science to apply the same system to beneficiaries.

    I am certain that NZ superannuitants living on the Gold Coast are policed quite effectively to ensure that NZ residency requirements ar adhered to.

  • http://bwwebblog.blogspot.com/ Bawaugh

    Since WINZ staff were pulled off this data matching job do I see a justification to employ more staff? (as every person they catch (or help educate them to tell WINZ next time) brings in more money and more savings).

    When I was on the Dole in Ireland you got your money weekly from the post office and every four weeks had to sign on in person at the dole office. Even so the Irish had problems with people living overseas, and flying back to get their dosh. 

  • Anonymous

    In fairness to MSD there seems to be a good operational reason for this stance. If they haul in more actual dollars per hour of investigation time by going after debts than dollars saved by dealing with those gone overseas.  However once the debt problem is under control, the economics go back in favour of data matching.

    The big problem is a ‘uniform’ government identifier is too politically sensitive. This would solve most of the problems as well as being convenient to most people eg someone on superannuation woud probably rather that MSD be advised of his or her immigration movements than having to contact MSD when leaving the country for what is usually a brief period. There is no need for any human in MSD to access such information unless someone has been flagged as being away too long.

  • bb

    OMG… you kidding me right – estimated 19mil!  dear god – they need some good database/intelligence info matching with customs etc.  crazy sh*t seriously – as a tax payer to the innth degree so i feel so violated now.. grrrr