A company owned by the Cerebral Palsy Society is facing a fresh Government review after new allegations about how it runs services for more than 3500 people with disabilities.
Focus 2000 is one of Auckland's largest providers of services for people with physical disabilities, including residential facilities and home-based support.
It was forced to repay the state $2.5 million after a 2004 Health Ministry audit, although the ministry says the over-charging arose from differences in how billing policy should be interpreted.
Focus denies allegations of unsafe conditions and medical mistreatment of clients.
On Thursday, Health Minister Pete Hodgson announced a financial audit and an independent review of Focus' business and management systems.
He said the ministry had already planned to do further audits of the quality of services at Focus facilities - it had already done a series of quality checks - and would start weekly meetings with the company next week to address complaints.
Mr Hodgson had at first said officials believed Focus' quality of care was similar to other disability service providers, but after being given new information he told Parliament on Tuesday that he was no longer satisfied with the "care" it provided.
Yesterday, he withheld full details but clarified that the new information was not about the direct care clients received and did not allege maltreatment. It covered a range of matters, including the management systems of the organisation.
"It's come from people who are involved closely with Focus because they know one of the people who are in Focus care or they have come from ordinary members of the public.
"Some people who are sources of our information have also given their information publicly, have identified themselves."
The allegations around the quality of care include a resident falling out of a wheelchair on a Friday and not being taken to hospital until the Monday. He had a fractured jaw.
Focus asserts he was taken to hospital on the Friday and an x-ray found no fracture. He was taken again on the Monday after complaining of pain.
The 2004 audit's final findings, released by the ministry, said the company generated "significant annual operating surpluses". In one year the surplus was $2.28 million or 18 per cent of its $12.4 million income. Around 90 per cent of its income is from the ministry.
Focus chairman Walt Beanland declined to comment on the company's finances, but welcomed further investigation and was happy with the quality of client services.
Of the complaints about client care he said: "We have a complaints procedure. It works very well. In 10 years of my being on the board not one complaint has reached board level. Whatever complaints were there have been sorted out."
The Government has for several years been concerned about disability services. Studies it has commissioned of services, including for the elderly, reveal a sector that struggles on low pay and low skills, with only pockets of excellence.
A 2004 study said clients reported being left in a wheelchair all night or isolated in bed without access to food or a toilet because the support worker did not show up. Mr Hodgson said the studies presented a "chilling" picture.
Fresh heat on Focus' work
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