A rehabilitation facility at the centre of mistreatment and abuse allegations has gone into voluntary administration, effective from Wednesday.
The development was confirmed by Esther Foundation’s interim CEO Phil Sparrow and came as a growing number of women spoke out about allegations of abuse.
In a statement, the Esther Foundation said recent media coverage had caused “significant reputational damage”.
“Such that our funding base has reduced to the extent that we are likely [to] become insolvent in the very near future, and accordingly under law we cannot continue to operate in this event,” the Foundation stated.
“Under the Association Incorporation Act 2015 (WA) the Board has the authority to appoint a voluntary administrator in the likely event of insolvency in the very near future.
“The predicted outcome of this administration process will be the closure and winding up of the Foundation.
“Throughout this process, we are continuing to seek an appropriate professional organisation to ensure the continuity of care and alternative program support for the women and children that currently remain in our care, and to work to ensure ongoing employment for our staff.”
The Foundation said its interim CEO was working with the…