Grant Delivery Chronology of E2E Events

Key

DCSGRP
SNSW

jPate Event Process steo/staee Resoonsible Action Outcome Status

Number %

1.0 SNSW Partnership Team receives new grant Partnershios Op?n Can we find
request from Treasury and business partner email/evidence of erant
Is determined Open and Service NSW agrees reouests sent between TSY
to deliver grant. and oartnershlDS
1 1.2 Initiative Card created PartnershlDs Source Initiative Cards
Initiative Card presented to ELT for approval from srants

3 1.3 A project team is established Prelect List of all oroiect teams

PMC Executive allocates resources by Dellverv that delivered the erants.
assigning key leads to deliver the project(Set
up your teams PM,PC and BA established)

1.4 The project team scopes the problem Prolect Seek one oaeers from
statement,employe and customer Dellverv Prolect Deliverv.
experience e.g. define objectives, quantify
benefits and key results to measure success
criteria/ what are we solving and why?

Identify executive sponsorship for project

PM define Scope and Agreement with Prolect

Partnerships and partnering agencies Deliverv

1.5 Project Manager sets up "Grants Project "In Prolect Work with PMO office to
the PMC governance systems and the key Deliverv see if there is anv evidence
tasks for the Project Delivery stages. of this.

1 1.6 Project KICK-OFF; Prolect Could seek evidence or

• Setup govemance forums Dellverv screenshotsofthe <
• Working groups different meetlnes and \J
• Set up Standups forums. Or list of
• Set up SteerCos stakeholders reouired.

• ensuring all stakeholders are

lygQt Responsible Action Outcome Required Attachments/
Number
.SdtiSBSS
assigned to the project stand-ups.

1.7 Development of grant guidelines. Ensure Proiect insert guidelines far

relevant SME's feedback Is included and/or Deliverv relevant grants
partner agencies. Parterships
Partner
agencies
1.8 Development of grant Terms and conditions. Proiect insertland Csfor
Ensure relevant SME's feedback is included Deliverv releavnt grabts
and/or partner agendes. Parterships
Partner
agencies

1.9 Project Agreement set up and inputfrom Partnership Evidence of Proiect

partner agencies is required. & Projects Agreements were
Delegations of Authority established to make appikabie
payments on behalf of the other agencies?

2.0 Set up project budget and flnancials setting

up cost centers to understand the bum rate
(WBS Codes Set up)- operational costs OPEX
SNSW tracking operational costs

identify Steering Committee representatives

and set up recurring Steering Committee
Meetinp

Project Team Engages relevant Business Units

required to deliver the "New initiative" and
to set up required recurring meetings EG
Daily standups/fortnightly checks Ins etc

"PMs/ProJect teams are to use the same MS

planner tools, i.e (Treiio, Jira, MS Planner)
when setting up project folders in sharepoint
and other required tools EG treiio boards.
There should be a consistent process in
storing documents (folder structure,file
naming convention)so ail Business Units
know where key documents are stored."

Project risk register is set up and sent to ail

Business units to add any known uphont risks
 Date Event Adiot^L- Outcome Status Reaulred Attachments
Number
Risk appetite is agreed upon for the grant
program within SNSW and is communicated
to partner agencies and documented

Success Metrics set up for customer/staff

experience and Provide Steerco with
overview of risks, success criteria endorsed
and the business rules

Overarching project pian, timeiines,

commitments, and key milestones showing
clear critical path and interdependencies

Coordinate with Product Team (Digital) to

design the produc^appiicatlon solution.
Project Team to ensure relevant Business
Units are involved In designing the controls
for the application EG Fraud Detection and
Response.

Pilot to Improve the stability of the workflow,

ieam of the impact to the frontline, identify
'

unforeseen challenges, understand customer

reaction,smooth out potential issues and de-
risk/ bring the team on the journey
HIW^^ *

A solution design should be documented by

Product and sent to all relevant Business
Units.

BE-9"
Risk workshop to be held to outline ail
■"Ki'
project, SD, SNSW4B, security and fraud etc.
rdated risks based on the product solution.

Project Business Analyst to run workshop to

document the customer journey/application
process map which includes the front and
back end controls implemented in the
product.
BHiygi

Define Operational Business Units Reporting

Requirements
Ip Define grant monitoring reporting
WKm^i
requirements
 Date Event Process steo/stage Resoonsibie Action Status Reaulred Attethnwirta/ j(
Number Evidmce
Work with Partnerships to receive disaster
t
f LGA mapping from partner agency so
} identified and eiigibie LGA's can be approved
■6 appropriately by Manual Assessment Team

Set Steerco Go or No Go Criteria

Design Post Pilot Metrics

Develop a Test Plan and define the required

testing linked to requirements EG UAT

Complete Knowledge Articles and agreement

for BC to develop any further work
Instructions

Design change Impact assessment and

7. change plan with the enterprise change lead

Complete On-line Solution design

1
Functional testing, security & UATTesting,

Prepare Knowledge Articles

Privacy impact Assessment completed.

Recommendations from steerco endorsed
f
Complete independent security assessment
1
Ensure Knowledge bransfer ServiceNSW
support teams (MO, Finance, BC etc)

Business Readiness Assessment with 80%

readiness

Test On-line solution

Engage and train support teams for "New
initiative'

Set the date for pilot go live. Its important

that when setting the date for pilot go live
that T and Cs are signed off by legal and
partner agencies as well as ail delegations are
conRrmed to avoid any issues
Date Event Process steD/staM Responsible Action Quteome ^'1 Status Reouired Attachments/ 1
Number Evidence 1
Pilot results to be consolidated in a
report/back and presented to SteerCo for a
dedson to be made about the success and
address any Issues or lessons learnt

GoA^o Go for pilot approved by steerco

Implement reporting requirements for

Operational, Partner Agency and New
Initiative monitoring

Complete Risk Register and Agreements with

Partnerships

Provide Project Status reports

Ensure Knowledge transfer to ServlceNSW

support teams(MO,Finance, BC etc)

Provide update/report to
Stakeholders/Sponsors

Provide update/report to Steering Committee

Complete Risk Mitigation and agreement

with partnerships

Complete "Transition to BAU" Checklist

Service Desk Handover

Licence management processes

Handover to BAU - Training & Partnerships

Rnandal Closure(Qose WBS Codes Etc)

Send the completed "Transition to BAU'

Checklist to Service Delivery for ongoing
ownership

Complete Agreement and closure of Risk

Register with all parties
Event Process steo/staae Action Required Attachments/
Number
Service NSW halted the processing of
payments on the SlOK Bushfire grant(21
April) to review current controls and
implement enhancements to mitigate further
risks
$50K Bushfire grant
Service NSW halted the processing of
payments on SlOK Covid-19 grant(23 April)
to review current controls and implement
enhancements to mitigate further risks
Service NSW halted the processing of
payments on the $6K VFF grant(5 May)to
review current controls and implement
enhancements to mitigate further risks
6* May - A Grants Administration Taskforce Regularly recurring stand-up
s
was set up with representatives across key meetings to establish roles, Grant

BU to understand and manage the fraud responsibilities, tasks and »dn<nliu«Uon ritk r

exposure across the following grants: check in on progress, raise

• 50k Bushfire Small Business problems. Arranged by
Support Grant SNSW (Alex Geddes)for the
• 10k Bushfire Small Business following attendees:
Support Grant Steve Brady
• 6k Volunteer Firefighter Grant Bridget Barrett
• 10k G>vld Grant Tina De Lorenzo
Richard King
Catherine Morgan
Chris Tandy
Diana Truong
Prem Bhullar
Matthew Lyon
Anthony Lane
Ben Clegg
Dan Denver
Christopher
Nathan
Lauren Nagel
Alex Geddes

A five-stage approach has been implemented

to assess and report on suspect applications:
Analysis(automated red flags), Security
Assessment(remove false positives),
Business Verification (manual assessment),
Investigations and Police Referrals/Recovery
of Funds.
Event Process steo/stage Responsible Action Outcome Stafais Required Attachments/
Number ^vidence_
Additional fraud-detection controis were For each grant, a framework VFF-Grant
identified and Implemented by our Security was documented and a Payment
and Product teams in May 2020. The go/no go decisions was Framework,pptx
implementation of these controls allowed made. (sharepoint.com)
Service NSW to return our grant applications 10k Covid
Into production and back online for citizens • 50k Bushfire Small Payment
to apply. Business Support Framework
Grant (Insert 10k Bushfire
Date]
Payment
• 10k Bushfire Small
Framework
Business Support
Grant[21 April]
• 6k Volunteer
Firefighter Grant
(5 May]
• 10k Covid Grant
[23 April]

Enhanced front end and back controis are

now applied. Some examples of these
controls are: Duplicate checks, Directors
check,trusted MyAccount API, black and grey
list and 3 retrospective reviews.
Police engagement e.g. Cessnock, Hunter
Valley and Lake Macquatle Strike Force
Raptor,South Coast, Southern Highlands artd
Campsie.
Establishing a reporting framework that
provides real-time information on the
quantum of potentially fraudulent cases,
movement of cases through relevant stages
and progress of backlog applications
Security Assessment Process matching phone
number, banking details or user ID
Daily stand ups were set up with key business
leads across the following teams

Data Analysis process concentrated on the

High Risk Activities.
Business Verification Process-implement
Risk System; Identifying applications that may
not meet the eligibility criteria and escalating
Data Event Process steo/stafe Resoonslble Action Outcome SUtus Reauired Mlachments/
Number Evidence
applications where suspicious behaviour has
been observed
The establishment of an investigations team
sitting within DCS
GAT Team commences operations,
performance and Incident
management for the "New-Initiative"
Recovery of funds - Compensation Orders
(SNSW)
Recovery of funds- Leanne Hornibrook
(SNSW)
Event -James Ross change of held batch
applications
• Release of batched applications by
held (SNSW)/ Bulk closure
• Quantum - It and $
• assessment of exposure
Status update changes in salesforce / reports
fortnightiy
Event- Accidental payment of'cleared'
applications(SNSW)
• Quantum • tf and $

When did notification of concerns re

payments(SNSW):
• Police
• Financial Institutions in the Hunter
Valley / Newcastle
• Other agencies (State or Federal)

Security Risk Assessment on Grant

Programs?? When, Who,How, what was
□
tm. ItfS.SES
Ptjnaffl Font Stair
approved? describe the role the security
team had re risk assessment, taking initial
feedback from police/financial institutions etc

April Initial referral to GRP - specific case: Wild2Free (W2F) - small

Wlld2Free S50.000 Bushfire Grant NPO business in the South Fwd. WUtUFrM Inc
ItgtlAdwcB-Applk
• WildlFree-27 April 2020 Coast of NSW. Recipient of
a SSOk Bushfire Grant
(March 2020) as applied for
by Laurae Harvey
(Treasurer) and was
approved and paid.
SNSW tipped off by Sarah
Tilling (President) and Gary
 Event Process steo^ri Action Outcome Required Attachments/
Number ivjl^SQSS
Henderson (Secretary)that
application did not meet
eligibility criteria as W2F
had been the recipient of
funding to replace
equipment through a Go-
Fund Me page.
SNSW (Belinda Viset. Blake
Reeson, Kate McNeil,
Carmel Meznaric & Alex
Geddes)contact GRP
(Andrew Pilbeam and Amyn
Nathwani)for assistance
with Legal (Rosemary
Chandler and Suzanne
Kendall)advice regarding
the potential recovery of
funds.
First indication of a
potential fraud against a
specific customer
May Initial refenal GRP- Melissa Clemens to Melissa Clemens contacts
2020 Geoff Campbell(01 May 2020) Geoff Campbell to seek
advice on how to engage RE_ Fraudulent
authorities regarding Clainrts-msg
reports received by SNSW
on suspicious Small Business
grant payments.
Email suggests:
• Tip off to SNSW
has been made by
Customer and
Banking
Association
• Damon Rees,
Bridget Barrett,
Sanja Galic,
Michael Cracroft,
Richard King and
Melissa Clemens
were aware of the
tip off and had
discussed it
• Agreed that
controls needed
to be improved
Proea&s teSDonslble Action Outeome Required Attachmwite f-

Initial notification of a
problem (SNSW & GRP):
o Legal ?
o Secretary ?
o Minister
o Resilience?
o Treasury ?
o Police

Legal Advice
o Crown Solicitors
o Lawful release of
information
o Etc

Initial engagement Core Integrity- Initial engagement with

GRP/lnterna! Audit 08 May 2020 Core integrity overseen by TMA-&(C

Anthony Lane(GRP Internal InUgfttyLOt -Dep*

Audit)for 6 days
commencing 12 May 2020.
Scope of engagement was Rf. Up0Md untr UptfMCd Utttr
el Engegtment • wrof Eegagement •wM
to:

• Provide dedicated
fraud and forensic TAB B•Approval
Cora Integrity Soluti
subject matter
expertise(SME)to
help DCS and
ServiceNSW
coordinate an
effective investigative
response.
■ Work closely with
ServiceNSW to
understand the
current issue, how the
issue was detected
and the size of the
current exposure.
■ Utilise our experience
in matters of this
nature to advise and
establish the
Event Process steo/stagel, Resoonstble Action Outcome fisaylfsdiffladusffitsi
Number li:- litisncg
investigation plan and
process.
■ Provide advice and
support to enable the
effective analytical
assessment of the
issue and enable
profiling of the
current Issues to guide
effective investigation
planning and decision
making.
■ Assist ServiceNSW in
identifying the highest
risk matters and
provide investigative
support into these
matters.
■ Provide advice and
assistance in
coordinating activities
with the relevant law
enforcement
agencies, including
preparing information
for referral.
• Understand the
outputs of the current
matter to provide
fraud risk advice in
respect to the current
control environment
• Depending on the
outcome of the initial
inquiries, work with
DCS and ServiceNSW
to provide further
investigation support
as requested and
approved to resolve
the matter

As approved by Catherine
Ellis
Date Event Process step/stage ttesoonslble Required Attachments/ <
Number Evidence
May 2020 Outcome / Observations from Initial Assisted the
Engagement- Core Inteeritv(12 May-18 Analytics Insights FW.Cera Mogrily RE. NSW JWS
May 2020) Km ojimieiiteii th Volunteer Piymenti
team identify
fraud risk
indicators from RE. Cnchup Deiy Updne - Cora
.SEC.UNClASSIFieO Inwgnly mtg
the grant claim
data (later used to (3
A£. Highlightt fof btd of doy
inform NSW your wiiWIity. FW.^progms updai*•C
Treasury of
exposure
estimates). Data
insights not able
to be finalized
due to difhculty
obtaining a
comprehensive
set of data
Provided insights
into specific cases
(samples in
attached emails)
related to VFF,
Federal Agencies
Attendance at
GAT stand up
meetings
Attempted
Engagement of
the State Crime
Command
Resulted in a
proposal to
extend the
engagement to
help complete
data insights
May 2020 Requestfor Extension - Core Integrity -(19 Proposal to
13
May-03 June 2020) extend the Requenfor TMCtN
•ilintlon •ai>renliOI73C|.2a20$ea«Ur
services of Core
Integrity by an
additional 10 days
and to establish Core Integrity
an Investigations Proposal - Grant Pre
function
BN 01720-2020
3
AArtouraA- RE
Approved by the Ezteniien prepoMi eHOI7».2020.*pp
 Event Process steo/gJ Action Quteome SaayiEfidifisdmfidsi
Number SatiSQSS
Sectary to a total
value of $500k
Fraud risk exposure analysis across the Following approval to
Bushfire and Covid grant programs was done extend Core Integrity's Chronology ft
podu during initMl
by the SNSW Analytics Team in conjunction services in May 2020, they
with Core Integrity was finalized. continued to assist the
SNSW Analytics Insights
team (Lauren Nagel and Quantum Results on
Garhck Shaw, prepare Grants.pptx
exposure estimates based
on fraud risk indicators as
suggested by Core Integrity.
Various iterations of the
findings with Damon
occurred and ultimately an
estimate of the exposure
was presented to NSW
Treasury at the end of June.
lune 2020 Meeting
facilitated by
Darren Murphy NSW Fraud Squad
with the NSW Presentation.pptx
Police State Crime
Command in (3
ftekfsr MMUn9
Parramatta. (omomnit.iiBg .OUt.Snslti^lM
In attendance:
Mary Snell,
Anthony Lane &
Darren Murphy
Aim of the
meeting was to
seek permission
to refer suspected
cases of grant
fraud to a central
spot within the
Police.
Met with
Detective
Superintendent
Linda Hewlett and
her leadership
team.
Outcomes of the
meeting
confirmed that
only the NSW
Event Process step/stage Responsibte Action Outeome Status Rcouired AttachtwcftfsF-1
Number
SYMWff
Police can refer
matters to the
State Crime
Command and as
civilians SNSW
was unable to
refer matters to
them
Instead, SNSW
was instructed to
work with Police
Area Commands
in the relevant
area/jurisdiction
for which the
frauds were
committed
): Investigation In June 2020, Governance
Services fSNSW Grant Admlnlstratton) Risk and Performance {GRP)
undertook a competitive
RFQ-Conditions-Par
market analysis through a
t-A (1).doo(
Request for Quote(RFQ CSD
1636]to engage an expert
supplier to perform
investigative Services TA6ABN030502020
related to the Service NSW BRIEFING NOTE Brier
Grant Administration
Taskforce- Refer to RFQ
Conditions-Part-A for
schedule of services. It was
anticipated that there will
be a need for a dedicated
investigations function to
assist Service NSW's Grant
Administration Taskforce
until 31 December 2020.
Core integrity Pty Ltd was
the successful supplier and
formally appointed by the
DCS Secretary on 4
September 2020.
Value of contract under this
engagement was limited to
S657k.
Date Event Process steo/staee Resoonsibte Action Quteome Required Attachments/ ^
Number
juiy /uzu
EvMence 'y
Establishment of the Strategic investigations Core integrity commenced
Unit the formation of the 13
Strategic Investigations Unit
FW_ Draft
(SlU) in early Juiy 2020. The
Agreement - Core In
SiU reported to the
Director, Audit and
Investigations and Executive
Director, GRP.

July NSW Police Strike Force Engagement Following on from the initial
attempt to centralise Ptckfoteuf
communication with NSW iTMllng this npmln

Police (refer above), Core

Integrity draw upon their
connections in the Police
and connections made
through interactions with
inbound Police enquiries to
make contact with Strike
Forces Raptor and Roche.
Later to engage with Strike
Force Fireant. Strike Forces
instigated by Police units in
the Hunter Valley targeting
outlaw motorcycle gangs
predominantly
luly 2020 Network Analysis and identity resotution Key to the successful
software identiRcatlon of potential Fw.NcMort
fraudulent grant ChMs.n*g

applications, is the ability to

identify all associated grant
applications ties to a
fraudulent one. That is,
other applications that
share common
characteristics, names,
addresses, email address,
phone numbers, bank
account details etc. Core
Integrity identified early in
their engagement that
SNSW's ability to undertake
this type of analysis was
limited if not non-existent.
Some attempts had been
made in a rudimentary way
to perform this type of
Date Event Responsible Outcome Reouired /^tachments/
Number
iidds&ss
analysis by Richard King in
spreadsheets using data
extracts from Salesforce.
Core Integrity developed
their own network
association tool using
PowerBI which they offered
to provide SNSW to use to
assist with case referrals.
SNSW rejected the offer to
use PowerBI as it was felt
that it could not be
supported internally and
additional licenses would be
required. However,
multiple assurances were
made that a network
association tool would be
built in Tableau (preferred
data visualization tool of
SNSW) prior to SNSW
embarking on the Fraud
Control Framework
initiative. To this date,the
Tableau version of this tool
has never been built and
funding was not approved.
Uigust - Monthly status meetings Core Integrity(Darren
iJovember 2020 Murphy, Ian Misfeld and August
□
R-• AnthoAy
Ant
UAf Iwcd .SAJ Gr
Dylan Bohnen) provided a !

monthly status update for

the following people:
D
S«pl«rf««r-SN5W
Gfwt MiTiAlstrgtioi
• Catherine Ellis
• Steve Brady IT
Oclobcr-Stew
• Damon Rees Crwit AdRinistritioi

• Colleen Dreis
• Clinton Gould (ac erlcfing Am*
■E
FINALJIU
miauapdf FattnightlyEwutt«
• Anthony Lane
• Rebecca m
Angelkovic
• Alex Geddes SIU Exec Briefing
Meetings and reports were Pack 18092020.pdf
provided August-
November 2021

SIU Grant Program

Exec Update 110820
 Event Process steo/stage- 0 Rfesoonslbte Action Outcome Peoulred Attachments/
IfidSQSS
lAugust 2020 Engagement v^ith AUSTRAC AUSTRAC reach out to the
SiU to establish a method to FW.kiuMigtncB
dsMmnationsfmr
exchange intelligence to
assist Police engagement
and referrals.
Core Integrttv temporarilv engaged bv the
SRT to assist them wtth trlaae and
assessment of front line referals
October 2020 ^cHm Statement Temdates Core Integrity working with
DCS legal draft victim ConfWMtW.FW.
URGENT.Danwi'tt
statement templates to
accompany all requests for
information to the police
(inbound) and outbound
referrals. Statements
critical for court
proceedings for Police
Prosecution. Damon Rees
ultimately approves
wording in October ahead
of first hearing.
November 2020 Core Integrity's Engagement extended to As funding for Core Integrity
February 2020 drew to the end of the
IT
aN4)439e-202amtg
allocated budget, an
options paper and Briefing
Note were presented to the
Secretary to seek approval
to extend the services of
Core Integrity(expand
budget by $200k) with a
view of winding down their
services and transitioning
investigation over to an
internal team (SRT) within
SNSW. This was a
preferred option of the
multiple options
considered. The additional
budget meant however the
size of the SIU needed to
reduce to a bare minimum
in order to make the end of
February and expertise in
data analytics and reporting
need to be let go.
 Event ttesponsible Action Outcome -?JV

Number iiddgncg.
February 2021 Core InteRrltv conclude their work wWt Transition of case files
DCS/SNSW commenced in January rw.Final ftapon
(Cora Iniagmtt $<U.r
2021 to the SNSW SRT
team. Transition completed
on 25 February. Key FMAI.SIU
Fortnightly EatoiHw
highlights of the Core
Integrity engagement:
34 of the 85
suspects being
investigated by
police have been
arrested, and
charged with a
combined total
201 offences
8 of the 34 have
been convicted in
court, with
matters still
before the court
in relation to the
other 26
(18 suspects are
scheduled for
court
appearances by
end-March 2021,
with further guilty
pleas/convictions
anticipated)
The SlU have
completed 100%
(74/74) of the
evidence packs
for police, in
relation to their
requests for
information
The SlU have
provided/finalised
29
comprehensive
Business Record
Affidavits(BRA's),
in support of the
police
 Event Process steo/staae Outeome Required Attachments/ B
Number iXtiSBSS
prosecutions
underway
$936,442
compensation has
been formally
requested in
relation to
ongoing court
matters,and the
courts have
ordered $70,000
in compensation
to date

Confirm Extend/ dose"New Initiative" with

Partner Agency
dose initiative

(24/9/2020 Dine and Discover Vouchers commence (4 X $25 vouchers)$100

S19/3/2021 Womens Return to Work Rebate commence

101/04/2021 Small Business Fees & Charges Rebate

commence

S19/4/2021 $50K fiood grants commence no end date Tiered grant $15,000 Up to
currently $35,000
823/4/2021 Northern Beaches Hardship Grant Pilot
|30/4/2021 Northern Beaches Hardship Grant Go-Live Budget $45m
130/4/2021 Accomodation Voucher Commence $1500
ill/6/2021 Northern Beaches Hardship Grant Finalise
and dose
130/6/2021 Womens Return to Work Rebate conclude Up to $5,000
130/6/2021 Dine and Discover Vouchers commence

130/9/2021 Accomodation Voucher Conclude

130/6/2022 Small Business Fees & Charges Rebate

conclude
31/10/2022 Senior Energy Rebate
Brain dump of potential events to capture

■ Onboarding of Core Staff

■ Investigated matters
■ Case Management Advice
■ Affidavits
■ Case preparation
■ Arrests and convictions
■ Education of product team
• Control Improvement
• Single view of customer
■ GlPA Input-Release of Information
■ Media request feedback
■ Adhoc advice on referred matters (I.e. Wlld2Free, RFS, specific GlPA requests)
■ Advice to help build requirements for the Fraud Control Framework technical
solution (Investigation case management)
■ Supporting/responding to requests for Information from other state and federal
agencies
Transition to the SRI and relationship handover with the Police