It’s time to pay the bill

By Susan Oldroyd
Defence personnel with overdue bills to the Commonwealth will soon face legal action.

CDF Gen Peter Cosgrove and the Secretary of Defence Ric Smith have asked Defence Legal Services to institute legal action where an overdue debt has been established and there has been no effort to repay the debt.

There are about 9000 debts owed by personnel, worth a total of $4.6 million.

Commonly members owe money for overpaid allowances or for costs met by Defence that are the responsibility of individual members such as unfair wear and tear to married quarters or carpet cleaning.

Sixty per cent of the debts are more than 90 days overdue.

Some people owe multiple debts and attempts by departmental staff to recover overdue debts are often ignored.

A Defgram (239/2003) issued recently to all Defence personnel by the CDF and the Secretary emphasised that the present situation is unacceptable.

Director Treasury Policy and Systems Kevin Thompson, who is coordinating Defence policy on debt recovery, said payment of debts was consistent with Defence values.

“We expect all personnel who have a debt due to the Commonwealth to settle it by its due date,” he said.

Members are notified of a debt by receiving an Accounts Receivable Invoice detailing the amount of the debt, options for repayment and the details of a contact person.

Mr Thompson pointed out that debts relating to salary overpayments that were already being recovered through payroll arrangements were not subject to this recovery process.

Personnel unsure if they have a debt or who have misplaced the paperwork should contact their unit administration staff or shopfront.

Inquiries about the debt recovery policy or process can be directed to Mr Thompson on (02) 6265 7187.

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