The federal government is prepared to consider further action against consultancy firm PwC over the tax advice scandal once a police investigation is carried out.
Treasurer Jim Chalmers said the conduct of PwC in using classified Treasury advice for commercial gain was a “substantial breach of faith”.
The Treasury department has referred the conduct of PwC to the Australian Federal Police.
However, Dr Chalmers said the government would consider whether other options would be needed following the police work.
“First of all, let’s let the AFP process play out, that’s important. Treasury’s referred it to the AFP, and there are other steps we’re working through,” he told ABC Radio on Monday.
“If more needs to be done, we’re prepared to consider it.”
The treasurer did not know how many contracts the consultancy firm had with the government, although he indicated it was a “substantial” amount.
“What we have done since being made aware of this really appalling behaviour that people have got a right to be absolutely filthy about, is we’ve worked through a decisive and methodical response on cleaning up the Tax Practitioners Board,” he said.
“The Finance Department is strengthening their procurement framework, and we’re asking people to take into consideration this behaviour when they award future contracts.”
Dr Chalmers indicated the scandal was an example of the need to bolster the federal public service, in order for major decisions not to be outsourced.
“There has been a substantial breach of faith and a substantial breach of trust here, and we need to get on top of it so that people can have faith in the way that these things are done into the future,” he said.
– AAP
