‘Really disappointing’: Murray River flood recovery co-ordinator disgusted at fraudulent attempt on funding scheme

A River Murray flood community co-ordinator has said it’s “disappointing” that someone would try to defraud the recovery fund meant for struggling businesses and locals.

The revelation that a woman has been arrested and charged for allegedly defrauding the River Murray flood fund for almost $20,000 has been called “disturbing ”by the natural disaster’s community recovery co-ordinator.

Last month, a 47-year-old Encounter Bay woman was arrested by detectives from the Serious and Organised Financial Crime Investigation Section after she allegedly submitted false applications to the Department for Industry, Innovation and Science.

Police will allege that she applied to receive funding from the Early Business Closure Grant and Small Business Flood Recovery Grant, seeking an amount of just over $16,000.

Community Recovery Co-ordinator, Alex Zimmermann told The Advertiser that it was “disappointing” that someone would go through the effort to take money away from people who “actually” needed it.

“To find out that people are taking advantage of the situation, and taking advantage of what was a very chaotic time in the beginning, to do this is really, really disappointing,” he said.

Bookpurnong Road, Loxton, underwater during the Murray river floods, Dec 2023 . Picture: SASES

“It’s really unfortunate that people in times of such crisis would undertake this type of behaviour.

“But what I do take heart from, and some solace in knowing that this is not widespread.”

The woman was charged with one count of deception and one count of dishonest dealings with documents for offences allegedly committed between December 2022 and March 2023.

Owner of Deja Vu Ski and Board in Mannum, Kylie Rochow said she felt “sick” hearing that someone tried to defraud the fund, but said she did not believe it was achievable because she experienced difficulties accessing money herself.

“I think it’s disgusting, but I can’t believe (it’s possible) ... knowing how diligently they work ... the government did not want to hand over a cent more than they had to,” she said.

A levee being built at Mary-Anne Reserve in Mannum. Picture: David Mariuz

“I can’t believe that they would even get away with it to be honest because someone was making sure that the genuine businesses didn’t get help.

“There’s really been hardly any support at all, honestly. They say there is, but actually accessing it, there isn’t.”

Ms Rochow said she did receive the initial $20,000 Early Business Closure, but when she applied for a separate flood recovery grant, her business was audited and she only received a third of what she tried to claim, even after she handed over months worth of receipts.

In a statement to The Advertiser, a spokesperson for the Department for Industry, Innovation and Science said there was a “rigorous due diligence” process flood victims needed to go through, and that not everyone would receive any funding from the grants.

“In cases where potentially fraudulent applications are identified, those matters are referred to SA Police for further investigation and potential prosecution,” a spokesperson said.

“The Department approved a total of 708 applications for flood support and recovery grants, delivering $6.4 million to Riverland and Murraylands businesses affected by the 2022/23 floods.”