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The Guardian - AU
The Guardian - AU
National
Amy Remeikis

Stuart Robert meeting with company before negotiations ‘contrary to probity protocols’, auditor general says

Former Morrison government minister Stuart Robert
Stuart Robert met staff from the preferred tenderer and ultimate winner of a government contract before negotiations began, the audit office has found. Photograph: Mick Tsikas/AAP

The former Morrison government minister Stuart Robert met with a preferred tenderer for a home affairs contract before contract negotiations began, “contrary to the probity plan and protocols”, the auditor general has found.

Robert’s meeting with the preferred tenderer for a new system to help streamline visas and security clearances was mentioned in a report tabled to the parliament on Wednesday that made no finding against him.

The Australian National Audit Office (ANAO) criticised “shortcomings” in how the Department of Home Affairs handled the tender process. The multimillion-dollar contract ended by mutual agreement less than a year after its start.

The ANAO found “a complete and accurate conflict of interest register was not in place and conflict of interest declarations were not obtained by 15% of individuals involved with the procurement” of the contract.

It also said the risk of contracted advisers having conflicts of interest with potential tenderers was “not considered during procurement planning” and that “timely action” was “not always taken to address instances where officials or personnel from the advisers had declared they had a conflict of interest”.

The ANAO analysis of departmental records indicated Robert met with staff from Accenture, the preferred tenderer and ultimate winner of the contract, on 13 July 2021.

Departmental officials from home affairs and the Digital Transformation Agency and personnel from the department’s probity adviser were also present at the meeting.

The ANAO report stated: “Contrary to the probity plan and protocols, the Minister for Employment, Workforce, Skills, Small and Family Business [Robert] held a meeting with personnel from the preferred tenderer before the commencement of contract negotiations. This meeting was not recorded in the probity register.”

However, home affairs categorised the meeting as an “interview” which was allowed for under the tender process and not recording it in the probity register was “an administrative oversight”.

“Although probity advice was not explicitly sought regarding whether the meeting should occur at that point in the procurement, a brief was prepared for the Secretary to attend the meeting with then Minister Robert, outlining matters of probity that should apply to discussions,” home affairs said in a response to the ANAO.

“This was cleared by the procurement’s Probity Advisor, Maddocks.”

There was no finding against Robert by the ANAO. Guardian Australia has attempted to contact Robert for comment. His former spokesperson was also contacted.

The ANAO included a “key message” for all Australian government entities with its audit, that “the risks of contracted advisers having a conflict of interest” with market responders “should be fully considered and addressed”.

It also recommended better guardrails around tender processes to ensure value for money, as set out as a core rule in the commonwealth procurement rules.

“Competition is enhanced when entities implement measures to level the playing field in instances where potential suppliers have gained a competitive advantage.”

In this case, the audit office found “shortcomings” with the process, including that two shortlisted tenderers “had a competitive advantage” having been involved with a previous terminated procurement process.

In February 2023 home affairs “advised the ANAO that it acknowledges that Accenture failed to deliver against the representations that Accenture made, however this does not mean the evaluation was incorrect”.

Accenture told the ANAO in its response to the report that it and the department “were not always in alignment on what had been delivered and what needed to happen (including department inputs) to complete delivery”.

Both parties agreed to end the work in August 2022, after $61.5m had been committed to the project.

Accenture said: “We respect the integrity of the Commonwealth Procurement processes, and act in accordance with the rules, as well as Agency directions, applicable to any procurement activity with the commonwealth.”

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