Government refers Qld providers to ACCC
The head of a major provider says he will stick by his decision after the government has referred a matter to the independent consumer watchdog.
The CEO of a leading Queensland aged care organisation has vowed that he will not be silenced after the Australian Competition and Consumer Commission (ACCC) was asked to investigate the actions of some of the state’s largest providers.
The competition watchdog has been asked to investigate after four leading providers indicated last week that they would not be applying for stand-alone, non-extra-service high care beds in the upcoming Aged Care Approvals Round (ACAR).
The office of the Minister for Ageing, Justine Elliot, raised the matter with the office of Assistant Treasurer, Chris Bowen, which in turn referred the matter to the Australian Competition and Consumer Commission (ACCC).
It is believed that the concerns were raised in relation to clauses about restrictions of trade in the Trade Practices Act.
The ACCC is not able to comment on the issue to protect the integrity of any possible investigations.
A spokesperson from Mr Bowen’s office said the referral was a routine response to the concerns raised by the office of the Minister for Ageing.
“We had advice that there could be or may be issues in relation to section 45 of the Trade Practices Act but the ACCC has yet to begin investigating the matter,” the spokesperson said.
“It is a matter for the ACCC and we referred it to them as part of the normal course of actions.”
The CEO of TriCare, Jim Toohey said he was not concerned by the latest development, adding he would stand by his decision.
“The decision not to build stand-alone, non-extra service high care beds was one that TriCare, as a provider of over 40 years’ experience, made based on a simple financial analysis of the [Commonwealth’s funding] formula.”
“We arrived at the decision independently, based on our own experiences and the other organisations did the same.
“I am relaxed if the commission chooses to contact us and I am willing to cooperate fully. I am not going to be silenced about this,” said Mr Toohey.
Mr Toohey did however express disappointment at the Government’s response to the calls for dialogue made by the Queensland providers last week.
“Given that we have never sought to attack the government for this policy as it is one they have inherited, we find it very disappointing that they are seeking to use the independent watchdog to silence us on this issue,” he said.
A spokesperson for Mrs Elliot said the issue was now in the ACCC’s court.
“It is a matter for the Australian Competition and Consumer Commission, an independent body, to determine if someone has contravened the Trade Practices Act.”
