Detectives from the NSW Financial Crimes Squad and Organised Crime Squad established Strike Force Mercury in July 2018 to investigate fraudulent activities targeting family daycare operations.

The strike force has also been assisted by the Australian Government Department of Education, the Australian Criminal Intelligence Commission (ACIC), the NSW Department of Education and NSW Crime Commission.

Police will allege in court the syndicate fraudulently claimed at least $3.9 million in Commonwealth payments under the Child Care Subsidy schemes over a 10-month period.

Read more: Illawarra property raided as police dismantle daycare fraud syndicate

Detectives charged 17 people in May, and another 22 were charged in September. All remain before the courts.

Following further investigations, four women aged 20, 29, 42 and 48 were arrested on Monday in the Fairfield area in Sydney's west.

A further four women, aged 31, 39, and two aged 37, were arrested in the Bankstown area on Tuesday.

And another two women, aged 33 and 45, were arrested in the Liverpool area and a 28-year-old woman was arrested at Wollongong on Wednesday.

All were taken to local police stations and charged with participating in a criminal group.

The 11 women have been granted conditional bail to appear at Liverpool Local Court on November 25.

Joint investigations under Strike Force Mercury are ongoing.

State Crime Commander, Acting Assistant Commissioner Stuart Smith, said investigators have now charged 50 people in relation to the investigation.

"We have completely dismantled this syndicate and put the director, facilitators and parents involved in this fraud before the courts," Acting Assistant Commissioner Smith said.

"Strike Force investigators will now look to target other syndicates exploiting the government's childcare subsidy scheme that was established to relieve financial pressures of everyday mums and dads."