Shares in childcare operator G8 Education Ltd continue to fall, having lost another 2% on Wednesday to A$0.895 after the company disclosed an additional site linked to alleged offender Joshua Brown.
In an after-market statement on Tuesday, G8 confirmed Brown had worked for one day at its World of Learning Point Cook centre in August 2023, following further enquiries from Victoria Police. This brings the number of centres connected to Brown to 23, the majority operated by G8 Education or Affinity Education, owned by private equity firm Quadrant. Authorities are screening more than 2,000 children as a precaution against potential infectious disease transmission.
The update comes as investors continue to weigh G8's handling of the matter and its communication with the market. The Australian Securities Exchange (ASX) sought clarification from G8 earlier this week regarding its delayed response to allegations first publicised by Victoria Police on July 1. G8 had initially told the ASX it did not expect the developments to affect its share price.
However, investor confidence appears to have waned following the ABC’s weekend report detailing two earlier internal investigations into Brown’s conduct at G8 facilities between 2021 and 2024. These incidents involved physical handling of children and resulted in disciplinary actions, including a performance improvement plan and eventual resignation.
G8 addressed these prior investigations publicly for the first time in a July 12 website statement, referencing both employee and parent complaints. On Wednesday, it advised investors to review the full details online.
Affinity Education has also responded, stating it is undertaking a full review of its staffing records and procedures.
G8 Education confirms 24th childcare centre linked to alleged offender Joshua Brown
The number of childcare centres linked to alleged paedophile Joshua Dale Brown has risen to 24.
In an email to parents, G8 Education chief executive Pejman Okhovat stated there was no record of Brown working at the Point Cook centre on any other day. He apologised for the delayed communication, saying it was shared “in the interest of transparency”.
The centre was identified following additional inquiries by Victoria Police, who have described the investigation as “extremely complex” due to fragmented and handwritten childcare employment records. Detectives have executed search warrants and reviewed more than 270 Crime Stoppers reports to confirm Brown’s employment history.
Brown, 26, faces 70 charges including sexual penetration of a child under 12, producing child abuse material, and recklessly contaminating goods. He held a valid Working With Children Check and had no prior criminal record.
A further 800 children have now been recommended for STI testing, in addition to the 1,300 previously identified, as the investigation widens. Brown is due to appear in court on September 15.