Closure of Gracedale Manor Aged Care Facility
The Australian Government has responded quickly to the announcement by the administrators of Kendalle Pty Ltd (Brooke Bird Chartered Accountants) to close Gracedale Manor - an aged care home in Melbourne.
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20 May 2009
The Australian Government has responded quickly to last night’s announcement by the administrators of Kendalle Pty Ltd (Brooke Bird Chartered Accountants) to close Gracedale Manor - an aged care home in Melbourne.
Minister for Ageing, Mrs Justine Elliot today detailed the Department of Health and Ageing’s support plan for the residents and staff.
The operator of Gracedale Manor, Kendalle Pty Ltd, went into voluntary administration on 10 March 2009 with extensive debts to residents and staff, secured creditors, trade creditors and the Australian Government.
Mrs Elliot said: “This is a very serious situation - our main concerns are for the residents’ health, safety and wellbeing and for the staff working at the facility.
“Unfortunately closure of the home is the only option given the circumstances in this case but action is being taken to make sure that resident care is not compromised as a result,” Mrs Elliot said.
The Department of Health and Ageing will support the residents, staff and families of Gracedale Manor by:
- Engaging an experienced relocation consultant to personally assist the 23 high care and 33 low care residents and their families with choosing the best alternative accommodation for them and managing the relocation of the residents and their belongings;
- Providing departmental case managers to provide individual support and assistance to residents and families; and
- Identifying available and suitable homes for Gracedale residents.
Financial support will also be provided to:
- Meet the direct relocation costs of residents;
- Trigger the Accommodation Bond Guarantee Scheme once Kendalle is placed into liquidation to protect the bonds of residents and former residents of Gracedale Manor;
- Continue to provide the residential care subsidy to ensure that residents are well cared for during the relocation process; and
- Provide assistance to the staff of Gracedale Manor through the General Employee Entitlements and Redundancy Scheme (GEERS) under which claimants may be entitled to assistance to meet unpaid employee entitlements.
Kendalle Pty Ltd operated three residential aged care services in Victoria – Gracedale Manor, Grandview Gardens Aged Care and Yarra West Aged Care.
The financial collapse of Kendalle and the conduct of its former executives are being investigated by the administrators. Given the serious nature of allegations, matters have already been referred to:
- The Australian Federal Police;
- The Victorian Police;
- The Australian Tax Office; and
- The Australian Securities and Investments Commission.
“If Kendalle’s directors are found to have pursued profit at the expense of residents’ care, they will pay the penalty,” Mrs Elliot said
For more information, contact Mrs Elliot's office on (02) 6277 7280
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