Feb 24 • 06:04 UTC 🇦🇺 Australia ABC News AU

'Brown packages filled with money' being offered to clinicians and advocates in alleged DVA fraud

A medicinal cannabis company is under investigation for allegedly offering financial kickbacks to military advocates in exchange for veteran referrals to its services.

An investigation by Australia's ABC News has revealed that a medicinal cannabis company, VeteranCann, has reportedly been offering substantial financial kickbacks to military advocates for referring veterans to their services. This practice raises serious legal concerns, as it may violate the Military Rehabilitation and Compensation Act, which prohibits receiving incentives for referrals. The investigation obtained a recording of a sales representative promoting a commission-based referral scheme to military advocates, suggesting that referring veterans to the company's medicinal cannabis prescriptions could lead to significant financial rewards.

The audio recording shows the sales representative explaining the terms of the commission, wherein military advocates would receive a 5% commission for every veteran who signs up for VeteranCann's ongoing medicinal cannabis prescription. The representative also implies that the amount of cannabis prescribed to a veteran will directly influence the commission received by the advocate, highlighting an incentive structure that could encourage unethical practices. This alarming revelation points to potential exploitation of vulnerable veterans seeking relief through medicinal cannabis.

The implications of this investigation are profound as it exposes potential fraud within the Department of Veterans' Affairs (DVA) and raises questions about the ethical practices of telehealth companies in the handling of veteran care. Should the allegations prove true, this could not only lead to legal consequences for VeteranCann but also reinforce calls for stricter regulations surrounding financial incentives in healthcare, particularly for populations such as veterans who may be in sensitive situations. The situation highlights the need for transparency and ethical conduct in the intersection of healthcare and veteran services.

📡 Similar Coverage