Two women have been arrested over alleged daycare rort.
Two women have been arrested over alleged daycare rort.

Pair arrested over alleged $5.7m daycare rort

TWO Sydney women have been arrested by the AFP over an alleged $5.7 million daycare rort after claiming the enrolment of more than 1600 kids during a one-month period last year.

Raids were carried out overnight at five properties in Kellyville and Lakemba, in the city's west, with the women aged 28 and 31 accused of money laundering.

It will be alleged in court that the pair benefited from fraudulent claims made for the reimbursement of costs of the care of each child for up to 14 hours a day, five days a week.

The 31-year-old has been charged with dealing with more than $1 million in proceeds of crime, while the 28-year-old is accused of handling more than $100,000 of the same.

The pair from Kellyville is due to face Central Local Court today.

"We will allege in court that this group methodically went about enrolling more than 1600 children for the maximum amount of family day care available, and then claiming full benefits for each of these children," said Acting Commander Kate Ferry, AFP Manager Criminal Assets, Fraud and Anti-Corruption.

"The message today is that greed on this scale will not be tolerated by authorities. Investigations will occur and those responsible will be brought before a court."

The women face 20 and 25 years in prison if found guilty.