Vic aged care home collapse probed
The Victorian government's oversight of an aged care home that went into voluntary administration will be probed by the ombudsman.
Mentone Gardens went into voluntary administration in mid-2013 with debts of more than $4 million.
Victorian Ombudsman Deborah Glass announced on Friday she will investigate the state health department's oversight of the facility to examine what action was taken to ensure the proprietors were fit to operate it.
Former residents complained the department failed to adequately oversee Mentone Gardens, sparking her investigation.
Residents also lost money paid in advance to the company which operated the facility when it entered voluntary administration.
Mentone Gardens was a supported residential service and although it did not receive government funding it was registered with the health department which decides whether applicants are suitable and financially capable to run such facilities.
The department also monitors whether laws are complied with and has the power to revoke registration or prosecute proprietors.
Ms Glass said residents who enter supported residential services often do so needing special medical support and they draw on considerable personal funds to ensure they are cared for in later years.
Parklane Assets Pty Limited, trading as Mentone Gardens, went into liquidation in September 2013.
