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The Big Story
From the outside, Cocoon appeared so successful (photo courtesy The Australian)
How a celebrated disability provider collapsed amid warnings . . .
They were locked out of their own home. Three women with significant disabilities, unable to enter their specially designed residence because their NDIS provider—Cocoon SDA Care—hadn’t paid the rent. It was the moment one of Australia’s most praised disability support company suddenly began to unravel.
Cocoon, once hailed as a success story of the National Disability Insurance Scheme, had been lauded with accolades. It held spot on the AFR Fast 100 list, recognition as a great places to work, and industry awards for staff excellence. But behind the polished public image was a house of cards—propped up by a hyper-aggressive expansion model, questionable billing practices, and missed warning signs from government regulators.
It’s difficult not to conclude that there is something seriously wrong with the scheme as a whole when an operator like this can suddenly self-destruct, leaving vulnerable people quite literally exposed on the street.
A series of media investigations and internal leaks have revealed the shocking collapse of the provider once entrusted with caring for hundreds of vulnerable Australians.
Cocoon’s parent company, Horizon Solsolutions Australia, is now under scrutiny for promoting property investment schemes blurring the line between disability support and financial speculation. The NDIS Quality and Safeguards Commission has suspended Cocoon’s registration after site visits found “serious safety concerns.” Meanwhile, the NDIA has frozen funding amid investigations into allegedly fraudulent claims - including even ones submitted for deceased clients and prisoners.
How did a company so decorated and publicly celebrated fail so spectacularly—and why didn’t the watchdogs act sooner?
Author’s Note
They say that watching a sausage being made will turn you off eating them for life, and it appears democracy sausages are just the same.
Revelations over the weekend have revealed the politicians who make up the ministry are not chosen because they’re the best & brightest, but on factional sway and power.
Let’s hope that whoever gets the NDIS role brings some of that political heft to play, ensuring disasters like the one that engulfed Cocoon don’t continue to emerge.
Nic Stuart, editor
The Briefing
We’re Not an Afterthought – We Need a Disability Minister Now
By Physical Disability Australia
People with disability are calling for a dedicated Minister to ensure their rights and needs are addressed beyond the NDIS. Advocates say political leadership is essential to drive inclusion, implement Royal Commission reforms, and end systemic neglect.
ACTCOSS supports Board of Inquiry into the Treatment of Aboriginal Detainees
By ACTCOSS
ACTCOSS has backed a call for a Board of Inquiry into the treatment of Aboriginal detainees at Canberra's main prison. The move follows community demands for systemic reform after recent Aboriginal deaths in custody at the Alexander Maconochie Centre. Rates of many forms of disaility are significantly higher for members of first nations communities.
Physical Disability Australia calls for the appointment of a designated ‘Minister for Disability’.
By Physical Disability Australia
Physical Disability Australia is urging the government to create a dedicated Minister for Disability, as recommended by the Royal Commission. The group stresses that people with disability must lead in shaping inclusive national policies and departmental leadership.
The Wrap
Headline: Disability benefit cuts to hit 700,000 families already in poverty, DWP forecasts show
By Guardian UK
Summary: UK government forecasts indicate that upcoming disability benefit cuts will adversely affect 3.2 million families, including 700,000 already in poverty. The changes are expected to push an additional 250,000 families below the poverty line.
Ali France's election isn't just a boon for Labor — it's big for the disability community too
By ABC
Summary: Ali France's election victory in Dickson is significant for the disability community, as she brings personal experience and advocacy to the forefront. Her win represents a step forward for representation and policy focus on disability issues.
NDIS provider fined $1.8m after Kyah Lucas dies of burns following bath given by carers
By 7NEWS
Summary: NDIS provider LiveBetter is fined $1.8 million after admitting to serious safety breaches that led to the death of Kyah Lucas, a young Aboriginal woman who suffered severe burns during a bath administered by carers. The case highlights critical failures in staff training and safety protocols.
NDIS: Jack's last act was to ask about his NDIS plea. Now his family want lessons to be learned
By 9NEWS
Summary: The family of Jack, a young man who died after prolonged delays in NDIS support, calls for systemic changes to prevent similar tragedies. They emphasize the need for timely and effective assistance for individuals with disabilities.
'Cruel and unfair': NDIS facing class action over alleged age discrimination
By SBS
Summary: The NDIS faces a class action lawsuit alleging age discrimination, particularly affecting individuals who acquire disabilities after the age of 65. Plaintiffs argue that the current policies unfairly exclude older Australians from necessary support.
Disability provider's practices exposed
By The Australian
Cocoon SDA Care, an NDIS provider, faces serious allegations of misconduct, including false billing and financial mismanagement. Whistleblowers report clients being confined due to undelivered services, staff unpaid, and the company continuing operations under new names despite investigations.
Quiz: Which federal law makes it unlawful to discriminate against someone on the basis of disability?
(a) Equal Opportunity Act (b) Disability Inclusion Act (c) Disability Discrimination Act
Answer – The Disability Discrimination Act 1992 prohibits disability-based discrimination.
The Diary
