Second man arrested as part of police investigation in alleged genU fraud

A second man has been arrested as part of an investigation into suspected fraudulent activity at embattled Geelong organisation genU, which allegedly involves several million dollars.

A 74-year-old man has been arrested as part of an investigation into alleged fraud at genU. Picture: Alison Wynd

A second man has been arrested as part of an investigation into suspected fraudulent activity, allegedly involving several million dollars, at embattled Geelong organisation genU.

Police said a 74-year-old Leopold man was arrested on Thursday.

He was interviewed by detectives from the financial crime squad and released pending further inquiries.

In early August, police searched a Newtown home as part of its investigation and arrested a 57-year-old man.

He was also interviewed and released pending further inquiries.

Authorities said the matter was first reported by genU to police in February 2023 after it found suspicious activity relating to accounts being wrongfully charged to the organisation.

Police allege the activity occurred during a five-year period and involves several million dollars.

Detectives are assessing financial and business records as part of their investigation.

GenU chief executive Clare Amies said the organisation would continue to work with police “to ensure justice is served”.

genU CEO Clare Amies. Picture: Supplied.

“For someone to allegedly take advantage of a not-for-profit organisation who provides important supports and services to vulnerable community members is disgraceful,” she said.

Ms Amies said it was “extremely disappointing” for genU to have been allegedly targeted.

“At no stage has this impacted our day-to-day service delivery or the way we support those communities we serve,” she said.

Police are keen to speak to anyone who may have knowledge of the matter and those responsible, which can be provided anonymously.

This masthead has reported on the ongoing troubles plaguing genU which include the departure of two of their most senior executives and a damning petition calling for Ms Amies to be sacked.

The organisation acquired Western Australian organisation Activ Foundation in June this year as part of its plan to increase its national services across disability, ageing, training and employment

The arrest comes after it was reported in July this year the financial woes of genU look to be worsening as the organisation prepares to record a loss of around $15m for the 2023/24 financial year.

GenU will release its annual report in November.

Anyone with information should contact Crime Stoppers on 1800 333 000 or online at www.crimestoppersvic.com.au.

Originally published as Second man arrested as part of police investigation in alleged genU fraud