16 women have been arrested in Sydney’s south-west over a large-scale daycare scam which allegedly claimed government rebates for children who didn’t actually exist.

Police raided 22 properties in May and charged 17 people after allegedly uncovering the $4-million scam.

Investigators say up to 150 parents allegedly sold their children’s identities to the business, which operated across Sydney and Wollongong.

Acting Assistant Commissioner Stuart Smith tells Ben Fordham the women arrested were parents.

“This week’s arrests were the mums and dads who pretended to be carers who were caring for, allegedly, children that they were claiming against.”

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