Staff owed thousands as college linked to banned disability provider in voluntary administration

A company linked to a banned disability provider has gone into voluntary administration, owing staff tens of thousands of dollars in wages.

A company linked to a banned disability provider has gone into voluntary administration, owing staff tens of thousands of dollars in wages.

Staff at Cocoon International College in Brisbane, which advertised itself as providing a pathway for overseas workers to get jobs in community services, childcare and aged care, was informed about the decision on Sunday, in an email sent by Muhammad Latif, director of a number of businesses under the Cocoon banner.

“We are writing to inform you that Cocoon College has made the difficult decision to enter Voluntary Administration (VA),” Mr Latif wrote.

“We want to reassure all staff and contractors that we are committed to meeting our obligations.

“This includes ensuring that everyone will be paid in full for their entitlements up to the date of administration.”

Cocoon SDA Care director Muhammad Latif. Picture: Facebook

Mr Latif signed off the email as Director.

Ex-bankrupt Zaffar Khan, who was Corporate Strategist for a number of the Cocoon entities including the college, has removed reference to it from his CV on his website.

Mr Khan featured prominently in a video at the opening of the college’s new premises last October, attended by Senator Paul Scarr, Shadow Minister for Immigration, Shadow Minister for Citizenship and Multicultural Affairs.

Mr Khan regularly travelled overseas to entice foreigners to outlay as much as $100 million on building homes for the severely disabled, including by hiring a consultant who claimed it had pre-approved work visas for investors, allowing them to move here “at the earliest opportunity”.

Mr Khan said Cocoon did not approve claims made by the consultant and, ultimately, they “secured no sales”.

Both Mr Latif, sole director of Horizon SolSolutions, and his company, which traded under Cocoon SDA Care and provided services to some of the most vulnerable people on the NDIS, were permanently banned from by the scheme’s watchdog in May.

Horizon received more than $50m in NDIS payments in the last financial year.

Cocoon SDA Care’s co-founder Zaffar Khan.

Shortly afterwards, Cocoon SDA Care went into Voluntary Administration, again owing staff, including support workers, thousands of dollars, with some claiming they couldn’t afford the bus fare to send their kids to school, while others were forced to rely on food banks.

The banning orders followed a detailed investigation by the regulator which said it uncovered alleged serious and systemic misconduct.

NDIS Quality and Safeguards Commissioner Louise Glanville said Horizon had “grossly violated the trust placed in them by participants, families and frontline staff – this was nothing less than callous and deliberate abuse of a system designed to support dignity, independence and fairness for people with disability”.

Federal court papers stated that Horizon SolSolutions had allegedly made NDIS claims for prisoners and $77,000 for three dead people, as well as not providing services to some participants according to their plans.

Mr Khan said the decision to ban Horizon was “heavy-handed” and that they would be seeking legal advice with the view of fighting it.

Multiple former employees have spoken out saying they had made complaints about Cocoon SDA Care going back years, with at least 32 tip-offs confirmed.

Mr Khan and Mr Latif have previously denied any wrongdoing.

Mr Latif has been approached for comment.