Monash IVF CEO Michael Knaap resigns after second embryo bungle

Monash IVF chief executive officer Michael Knaap has resigned following the reveal of a second embryo bungle. 

In a statement to the ASX, Monash IVF said its board had accepted Mr Knaap's resignation and "respects his decision".

"Since his appointment in 2019, Michael has led the organisation through a period of significant growth and transformation, and we thank him for his years of dedicated service," the statement said.

Monash IVF revealed on Tuesday that it had incorrectly transferred the wrong embryo to a patient — the second incident the company has apologised for in recent months.

The patient's own embryo was used instead of their partner's, which was "contrary to the treatment plan", the company said on Tuesday.

It comes two months after the company revealed a Brisbane patient was mistakenly implanted with another patient's embryo.

The woman gave birth to a baby who had no genetic link to her later that year, which the ABC understands happened in 2023.

Mr Knaap was also the managing the director of Monash IVF Group and had led the organisation since 2013.

Chief financial officer and company secretary Malik Jainudeen has been appointed as acting CEO.

Shares in Monash IVF rose on the news of Mr Knaap's resignation, to be up more than 8 per cent to 65.5 cents by 12:50pm AEST. 

The stock has regained some ground after a steep fall earlier this week on the news of the embryo bungle. 

However, it remains around 50 per cent below where it was at the start of 2025.

Incidents require 'full transparency'

The Fertility Society of Australia and New Zealand (FSANZ) said it recognised the contributions Mr Knaap had made to the fertility sector since his appointment in 2019, and "appreciates the complexity of the events that have led to his decision to resign".

"Incidents like this demand full transparency, rigorous investigation, and a sector-wide commitment to learning and improvement," a FSANZ spokesman said in a statement.

As the sector's peak body, FSANZ said it continued to advocate for federal and state governments to commit to a nationally consistent framework to regulate the assisted reproduction sector.

The spokesman said a national approach would strengthen transparency, streamline governance, and enhance patient care across the country.

"It would also support better data collection, benchmarking, and sector-wide continuous improvement," he said.

Health ministers to discuss issue

Federal and state health ministers will meet in Melbourne on Friday, with the assisted reproductive technology (ART) industry on the agenda.

On Thursday, Victorian Health Minister Mary-Anne Thomas said she would advocate for a "strong and independent" national accreditation and licencing scheme.

"It is very clear that there needs to be greater national consistency to strengthen regulation of the fertility care providers across Australia.

"I will advocate for a strong and independent national accreditation and licencing scheme for fertility providers at HMM tomorrow."

Speaking to ABC Radio Adelaide, Federal Health Minister Mark Butler described the recent Monash IVF bungles as "shocking" and "deeply distressing".

"We have about 20,000 IVF births a year [in Australia]. This is not … niche.

"We've got to get some confidence back into the system. I haven't yet had a discussion with state ministers about their views going forward."

Mr Butler said Monash IVF had acted quickly to appoint esteemed KC Fiona McLeod to review the embryo mix-ups.

"But I think as governments we've got a responsibility to see whether there are better levels of regulation that should be put in place, and to inject some confidence back into a system that delivers such joy to so many thousands of families every year," he said.

By law, state and territory governments regulate key aspects of IVF, including fertility treatment and donor conception.