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ETS Scandal

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After initially being ruled ineligible for bidding on the new ETS contract based on its size, TPG was finally ruled eligible after partnering with another organization. However, in the new request for proposals, the government officials overseeing the evaluation decided not to use certain standard
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In April 2015 the first jury trial ended with not guilty on all counts verdicts for Marina Durward, Sue Laycock, Phil McDonald, Don Powell, Tom Townsend, Ron Walker, Devon Group, Spearhead Management and TPG Technology, with David Watts being acquitted in February by directed verdict.
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As a result of the many unusual circumstances surrounding the award of the ETS contract and its aftermath, many members of the media, politicians and judges (amongst others) have raised concerns in relation to this scandal. These include:
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for an Engineering and Technical Services (ETS) contract. The contract would involve the right to manage and maintain PWGSC's main computer systems and networks. From 1999 to 2006, the firm that had been providing those services was
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Having chosen a trial in front of a judge instead of a jury, the remaining defendants, Barry Dowdall, David Gelineau, Perry Henningsen, Donna Cona Inc. and Brainhunter, still face trial on the same information and set of facts.
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in the 1997 election. This charge has been presented by the media as retribution by the government against TPG and Powell for alleging unfairness in the procurement process and a political cover-up.
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Justice David Near, who issued a controversial ruling on the ETS case. Only 18 months prior to hearing an important motion on this case, he had been working in the office of the Conservative
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about the irregularities in the ETS procurement. In early 2009, TPG and 17 other defendants were charged with bid-rigging by a newly appointed Crown Prosecutor, who had run for the
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No fairness monitor was appointed to oversee the ETS procurement process – it is highly unusual that the government should decide not to include one on a contract of that size.
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In May 2015 an official with the federal Public Prosecution Service of Canada confirmed that "There will be no appeal on any aspect of the trial. The case is complete".
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about any potential conflict of interest, the government's initial response was to deny any conflict of interest. However, many of the questions raised in the
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government procurement practices, such as requiring a fairness monitor to review the evaluation process and providing a debrief once the contract was awarded.
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for Ontario ruled in February 2012 that the dismissal of the defamation claim brought by TPG was in error, and TPG’s claim should be allowed to proceed to
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and PWGSC Minister when the contract was awarded. In his prior role as Credit Suisse First Boston's key Montreal executive in 2004, Fortier had helped to
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In February 2009, following press conferences and an appearance by TPG's owner Don Powell to a parliamentary committee, a newly appointed federal
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Justice Stanley Kershman dismissed the claim on the grounds that the allegedly defamatory words were not capable of bearing defamatory meaning.
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During the evaluation process, scores given by individual evaluators did not coincide with the scores obtained by the same evaluators in a
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is an ongoing Canadian political scandal involving alleged wrongdoing by Canadian government officials in the award of a $ 400-million
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Believing the process had been conducted unfairly, TPG launched a lawsuit in March 2008, raising concerns about the
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Since 2009, the legal battle has continued, with more information coming out to indicate political intervention.
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having joined the government in late 2008. He charged TPG and its owner with bid-rigging (under the
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CGI's $ 858 million acquisition of AMS Inc. In 2003, Fortier was the co-chair of now-Prime Minister
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Government officials refused to provide information about the evaluation. This resulted in numerous
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process as well as possible political intervention, particularly from PWGSC Minister, the Honourable
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website. The statements claim that there was evidence that TPG and other companies had a plan to
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hired by PWGSC advised the evaluation team to destroy all records related to the evaluation.
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https://ottawacitizen.com/news/Businessman+files+complaint+about+judge/5808643/story.html
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and abuse of public office stemming from statements published by the government on the
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ruled against the government regarding some of the ways the proposals were evaluated.
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services contract and allegations of political interference in the ensuing cover-up.
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charged TPG, Powell and 17 other defendants with an as-yet-unproven allegation of
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On October 31, 2007, the $ 400 million contract was awarded to Montreal-based
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This scandal involves a number of present or former Conservative officials:
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The government refused to debrief the companies that had lost the award.
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The cases, particularly the lawsuit by TPG and the government’s
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House Standing Committee on Government Operations and Estimates
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On June 10, 2008, Don Powell, President of TPG, testified at a
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charges against TPG, continue to be heard in Canadian courts.
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Ltd (TPG), an Ottawa-based IT professional services company.
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remain unanswered. Members of the opposition parties (
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Index

Canadian government against TPG
information technology
Public Works and Government Services Canada
request for proposal
TPG Technology Consulting
CGI Group
procurement
Michael Fortier
Credit Suisse First Boston
conflict of interest
opposition parties
public inquiry
Conservative government
Parliamentary Committee
Progressive Conservatives
consensus process
consultant
Canadian International Trade Tribunal
Access to Information
Federal Court
House of Commons
House Standing Committee on Government Operations and Estimates
New Democratic Party
Bloc Québécois
Liberal
Crown Prosecutor
bid-rigging
Michael Fortier
senator
underwrite

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