A federal Crown corporation has allocated more than $1 billion in recent years to a single foreign consulting firm that has come under scrutiny by Canada’s auditor general. Auditor Karen Hogan found Export Development Canada (EDC) gave Dublin-based firm Accenture too much control over key aspects of its sole-sourced contract to administer a pandemic-era business loan program and “failed to exercise basic controls in contract management.” (The Globe and Mail, The Logic)
Talking point: Documents obtained by The Globe and Mail reveal EDC has dramatically increased its spending on IT contracts in recent years, and they have mainly been awarded to Accenture. Hogan’s report follows a string of scathing audits that found poor government oversight of consulting contracts. Her investigations have found serious issues with government contracts awarded to the American firm McKinsey & Company, as well as those related to outsourcing work on the government’s much-maligned ArriveCan app.