
Feds Shell Out $100 Million to Controversial Contractor Despite Red Flags, Audit Reveals
2025-06-10
Author: Michael
Government Contracts Under Scrutiny
A recent auditor general's report has uncovered scandalous spending by the Canadian federal government, awarding almost $100 million in contracts to GC Strategies, the firm responsible for the controversial ArriveCan app. Shockingly, this comes despite numerous issues regarding delivery and compliance.
Contracts with Little Oversight
The Canadian Border Services Agency alone handed out four contracts totaling a staggering $49.9 million to GC Strategies. In addition, the Canadian Broadcasting Corporation contributed nearly $12,000 through one contract. Yet, the auditor's findings reveal a troubling trend: in 54% of the contracts reviewed, there was concrete evidence that services were delivered, while 46% lacked any such verification.
Federal Officials Ignoring Protocol?
According to Auditor General Karen Hogan, federal officials consistently authorized payments without confirming whether all contractual obligations were met. This is particularly alarming as federal regulations mandate that officials certify receipt of all services before releasing funds. Hogan stated, 'It wasn’t always the case.'
A Lack of Documentation Raises Serious Concerns
Deeply concerning is the discovery that approximately 20% of the contracts reviewed showed inadequate documentation concerning security clearances for personnel involved. Hogan emphasized that government policies are often sidestepped, with little record of who executed the work, their qualifications, or details on completed tasks.
Calls for Accountability in Government Spending
In response to these shocking revelations, Conservative MP Michael Barrett raised a critical question: 'If they can’t prove the work was done… shouldn’t we get our money back?' Further underlining the gravity of the situation, Conservative Leader Pierre Poilievre described it as a 'massive scandal,' questioning why taxpayers are footing the bill for presumably unsubstantiated work.
Hogan Demands Adherence to Existing Rules
Although Hogan did not recommend new procurement rules, she stressed the need for federal organizations to ensure existing protocols are not only understood but followed diligently. The call for better compliance comes as the government faces increasing scrutiny regarding its contracting practices and financial accountability.