Financial counsellors know the devastating impact financial abuse can have on individuals and families. Last week, this critical issue was front-page news, with FCVic member Julie Dal Pra featured in The Age on 27 March, highlighting the hidden crisis of financial abuse in business.
Julie’s work at EACH brought to light the harrowing case of Christine*, a Melbourne mother unknowingly saddled with millions of dollars in fraudulent business debts by her estranged husband. Trapped in a nightmare of coerced directorships, fake signatures, and financial ruin, Christine faced the terrifying prospect of bankruptcy. Without the support of Julie and a network of 77 professionals working pro bono over three years, she would have lost everything.
This case is just one example of a growing, yet largely unrecognised, form of financial abuse. Unlike other financial abuse scenarios, there are currently no legal protections in Australia for victim-survivors of business financial abuse. As Julie noted in The Age, “It is shocking how easy it is to make somebody liable for business debt of a company they had nothing to do with.”
The work of financial counsellors like Julie is not only life-changing for individuals but also critical in driving systemic reform. Christine’s case and many others were used in submissions to the 2024 federal parliamentary inquiry into financial abuse, highlighting the urgent need for protections such as US-style ‘innocent spouse’ provisions.
FCVic has been advocating for greater recognition of financial abuse in business, recently supporting EACH’s proposal for a National Centre for Financial Abuse in Business. This initiative would provide specialist assistance to victim-survivors while working to reform the structures that enable such abuse to occur.
This front-page feature underscores the essential role financial counsellors play in fighting financial abuse and ensuring victim-survivors are not left to navigate these challenges alone. The traction at the federal level—where Julie was recently asked to submit full program proposals before the government’s election announcement—indicates that change may be on the horizon.
Julie’s work reminds us why financial counsellors’ advocacy is crucial. By continuing to push for systemic change, we can ensure that financial abuse in business is recognised, addressed, and prevented.
*Name changed for privacy.