Schedule 2, Part 9

False statements, false claims and concealed records

From 27 August 2026 a false statement to the Agency or the Commission, a payment obtained without entitlement, a payment obtained by deception and the concealment or falsification of a required record are each offences, with higher penalties where an NDIS provider commits a serious contravention.

What does the provision require?

Division 4 is replaced with a set of offences. Section 59A covers a false or misleading statement, information or document given to the Commissioner or a Commission officer, knowing it is false, misleading or omits a material matter, in connection with the Act other than a registration application. Section 59AB does the same for the Agency and Agency officers, in connection with an access request, the exercise of powers under Chapter 3 Part 2, or compliance with an information requirement. Section 59AC covers conduct that results in a payment, or an amount becoming payable, where the person knows there is no entitlement or the amount is excessive. Section 59AD covers the same conduct done dishonestly, by deception or by impersonation. Section 59AE covers concealing, disposing of, mutilating, altering or falsifying a record the Act requires to be kept, with intent to defraud or to obstruct an audit, review, investigation, monitoring or enforcement activity.

Each offence has a higher penalty where the contravention is serious and the defendant is an NDIS provider. Section 59AF requires the charge to allege a serious contravention and the prosecution to prove the circumstance and the defendant's knowledge or recklessness. A court may acquit on the serious form of the charge and convict on the base offence. Section 98A adds an offence for a nominee, current or former, who abuses their position or information dishonestly.

Why does it matter to an insurer or a provider?

The serious contravention multiples are the largest numbers in the Act, and they apply to the entity an insurer is most likely to underwrite. A claim for a regulatory investigation, a penalty or a defence cost now turns on whether the conduct is characterised as serious, which is a matter of proof about the circumstances and the defendant's state of mind. The record offence in section 59AE is the one that most often sits behind a document management failure rather than a deliberate fraud.

What did the amendment change?

The old Division 4 had a narrower set of false statement offences. The Act creates separate offences for the Commission and the Agency, adds obtaining payment not payable and obtaining payment by fraud, adds the record concealment offence, adds the serious contravention mechanism and the alternative verdict, and adds the nominee abuse offence.

Suggested evidence

These are the publisher's control suggestions, not statutory requirements. The provision's own requirement is above; an auditor or regulator decides what is sufficient.

The statement or document provided, with the date and the recipient
The verification steps taken before it was provided
The record retention and destruction log, to answer a concealment allegation
The characterisation analysis for a serious contravention, with the circumstances relied on
The nominee appointments and the information each nominee holds
The fraud control plan and the whistleblower route

What should be done before the date?

Review the fraud control plan against each offence in Division 4
Add a document destruction authorisation step that cannot be overridden by one person
Check the policy for regulatory investigation and penalty defence cover
Brief nominees on the abuse of position offence

What the text does not say

The text does not define serious contravention in this Division; the definition is in section 11B and was not inserted by this Act. It does not set a limitation period. It does not say whether a self reported error is treated differently from a detected one.

Where this sits

Division 4 of Part 1 of Chapter 4, substituted by item 106 in Schedule 2, Part 9, Additional penalties for fraudulent conduct (items 106 to 119). Read the official text at https://www.legislation.gov.au/C2026A00066/latest/text. The record was read on 21 October 2026.

Not legal advice; does not certify. This page is a reading of the provision in our own words, not a reproduction of it, and not advice on your own facts.