QLD Baptist community aged care operator Carinity has returned to the Federal Court seeking redress for the lost revenue suffered after they claim they were unfairly targeted by unannounced audits, the result of a negative media campaign by the Australian newspaper.

In February an investigation of nine Carinity facilities was announced by Mitch Fifield, the then Assistant Minister for Social Services. This followed a complaint made against another Carinity facility, which is believed to have been made by a disgruntled employee. The Australian was apparently tipped off and launched a colourful series of negative stories.

Darryl Turner, human resources head for Baptist Community Services, has since been identified by the Australian as a whistleblower following his termination for “on the balance of probabilities, you directly or indirectly disclosed confidential information to The Australian newspaper in breach of your obligations under your contract of employment, the common law and the Corporations Act 2001”.

Carinity managed to get the sanction on Karinya lifted within 10 days but had to commence proceedings in May in the Federal Court seeking to achieve a judicial review of a ‘serious risk’ finding.

In an unprecedented move the Department took the decision to overturn the sanctions and expunge the Carinity’s record on 24 June.

Carinity CEO, Jon Campbell, was still not happy. He pointed out that very early on in the proceedings all parties were aware that the facts did not support the sanction.

Another care operator has explained to us the direct operational and revenue cost of responding to an audit sanction on one facility exceeded $750,000. Carinity had multiple facilities plus the Australian newspaper running regular negative articles.

This week the Australian newspaper's sister publication the Courier Mail, has continued with multiple examples of bad news stories but no mention of the overturning of the sanctions and expunging of the Carinity record.

The court case continues this week.