Education Minister Dan Tehan says the unit will help the sector preserve its world-class reputation.
“The integrity unit will ensure that universities continue to focus on the student experience and maintain the highest levels of quality,” he said on Wednesday.
It will also address threats facing research integrity and admissions standards and have the power to order courts to shut down websites that help students cheat.
Police, intelligence agencies, prosecutors and Home Affairs officers will all cooperate with the watchdog.
“The unit will have a watching brief to identify risks to the sector and proactively assist institutions to take action,” Tehan said.
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