The 1990s has witnessed a growing trend to divert mentally ill offenders out of the criminal justice system and into the health and social services. This article examines the implementation of this "diversion policy" and focuses upon its effects and implications for mentally disordered offenders. Diversion is an inherently offender-oriented process a,and, consequently, consideration is also given to the,needs and rights of the victims of their crimes, who may often be forgotten in the diversion decision-making process.