Audit calls over Indigenous grant report ‘unfounded’

Calls have grown in Canberra for better auditing after a report has revealed 1254 Aboriginal and Torres Strait Islander businesses who received grants failed to lodge necessary general, financial, auditor or director reports during the 2023-2024 financial year.

26 firms were classified as ‘large’ with an income above $100,000, according to the report delivered by the Office of the Registrar of Indigenous Corporations (ORIC).

Tricia Stroud, who is the Registrar of ORIC, said assertions of a lack of accountability were unfounded.

Much of the criticism has been aimed at the Corporations (Aboriginal and Torres Strait Islander) Act 2006 (CATSI), which operates outside of legislation overseen by the Australian Securities and Investments Commission (ASIC).

Ms Stroud said it was incorrect to suggest companies registered under the CATSI Act have lesser accountability for taxpayer funds.

Opposition Indigenous affairs spokeswoman Kerrynne Liddle told the Melbourne Herald Sun the findings by ORIC were “unacceptable”.

“Where organisations receive taxpayer money to deliver these critical services, they must meet all regulatory, governance and legislative standards,” she said.