Negash and Secretary, Department of Social Services (Social services second review)

This matter concerned an appeal by Mr Fantaye and Ms Negash against decisions of the Administrative Appeals Tribunal (AAT) affirming debts owed to the Commonwealth for social security overpayments. The applicants did not dispute the calculation of the debts but argued they should not be required to repay them due to departmental error or, alternatively, special circumstances, including financial hardship. The core of the dispute centred on the applicants' failure to notify the Department of Social Services (the respondent) of changes in Mr Fantaye's income from workers' compensation payments between December 2013 and February 2017.

The Administrative Appeals Tribunal (AAT) was required to determine whether the applicants could avoid repaying the social security overpayments. Specifically, the AAT considered whether the debts could be written off or waived under section 1236 of the *Social Security Act 1991* (Cth), particularly in light of the applicants' claims of financial hardship. The AAT also had to assess whether any departmental error had occurred or if "special circumstances" existed that would justify waiving the debt.

The AAT found no error on the part of the respondent, noting that both applicants had been clearly advised of their obligation to report changes in income and circumstances. The tribunal accepted that the applicants might not have fully understood their obligations, but emphasised that ignorance of the law is not an excuse, nor is it typically considered a special circumstance. Applying the principle that the integrity of the social security system requires repayment of monies received to which a recipient is not entitled, unless repayment would be unjust, unreasonable, or inappropriate, the AAT concluded that repayment of these debts was neither unreasonable, unjust, nor inappropriate. Accordingly, the AAT affirmed the previous decisions of the AAT.