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TAC denies CEO forced out by insurance rort

Victoria’s Transport Accident Commission (TAC) has denied claims that outgoing CEO Paul O’Connor quit over an alleged $7 million insurance scam. It seems he just didn’t want to move from Melbourne to the regional city of Geelong.

Last month Melbourne newspaper The Age revealed that a TAC audit identified over a dozen surgeons who had submitted $7 million worth of allegedly inappropriate claims between 2001 and 2007.

But the commission says that is not the reason it will replace Mr O’Connor seven months before his contract expires.

It says it wants a new CEO in place before it relocates 75km from Melbourne to Geelong in January.

Mr O’Connor will leave the TAC in October, even though his contract doesn’t end until next May. It is understood he was reluctant to relocate to the smaller regional city.

Under some agreements, specialists divide earnings from the treatment of road accident victims with the hospital they are working in. The TAC has since installed more rigorous billing procedures and may seek evidence to substantiate future claims.