Kathleen Folbigg has lashed the NSW attorney-general’s “woefully inadequate and ethically indefensible” $2 million compensation offer for her two decades of wrongful imprisonment.

Folbigg, once dubbed Australia’s worst female serial killer, was convicted in 2003 of killing her four children, Patrick, Sarah, Laura and Caleb, between 1989 and 1999.

She was released in 2023 and had her convictions quashed. 

Folbigg made an application for an ex gratia payment — a voluntary payment without any legal obligation and typically made out of goodwill — for her wrongful imprisonment to avoid suing the state.

NSW Attorney-General Michael Daley has assessed her application and offered her $2 million today.

“The decision follows thorough and extensive consideration of the materials and issues raised in Ms Folbigg’s application and provided by her legal representatives,” his office said in a statement. 

“The decision has been communicated to Ms Folbigg via her legal representatives.” 

Folbigg’s solicitor, however, said the offer was “profoundly unfair and unjust”.

“The sum offered is a moral affront — woefully inadequate and ethically indefensible,” Rhanee Rego said.

“The system has failed Kathleen Folbigg once again.

“Kathleen lost her four children; she lost 20 of the best years of her life; and she continues to feel the lasting effects of this ongoing trauma.

“The payment does not reflect the extent of the pain and suffering Kathleen has endured.

“This should be about the system recognising the significance of what it did to her.”

When Lindy Chamberlain was exonerated for the death of her baby in 1994, she received $1.7 million for three years behind bars. 

The following year, David Eastman was offered $3 million after spending 19 years in prison for murder, but challenged the payment and was awarded $7 million.

In 2014, Henry Keogh was paid $2.57 million after his conviction for killing his fiancée was overturned.

Folbigg, through her solicitor, is calling for an inquiry to understand how the state government decided on the figure.

“Kathleen Folbigg’s fight should be over. After being failed at her conviction and abused in prison, she is now being treated with contempt by the very system that should be making amends,” Rego said.