This investigation discovered that CenITex (the centre for IT excellence), a Victorian State Owned Enterprise, was responsible for numerous breaches of the relevant procurement policies and guidelines.
These breaches included:
- Companies and their contractors were awarded significant contracts totalling up to $4 million without competitive processes. In one instance, a competitive process was ostensibly conducted; but, in reality it was a sham.
- In some instances, nepotism and favouritism influenced procurement and recruitment practices. Often, the companies or contractors were chosen because they were associates or friends of other contractors already working at CenITex.
- Some appointments were made on the basis of fabricated or false documentation.
- Some engagements were initiated or overseen by individuals within CenITex who had a clear conflict of interest and stood to gain financially from the transactions. Such conflicts were often not declared, or declared late, inadequately or misleadingly. Even conflicts that were declared were ill-managed by CenITex. This led to opportunities for improper conduct.