:
Good afternoon, colleagues.
I call this meeting to order. I'm sorry for the delay. Of course, we had votes.
Welcome to meeting number 84 of the House of Commons Standing Committee on Government Operations and Estimates.
Pursuant to Standing Order 108(2) and the motion adopted by the committee on Monday, October 17, 2022, the committee is meeting on the study of the ArriveCAN application.
I have a friendly reminder. Do not put earpieces next to the microphone, as it causes feedback and potential injury to our interpreters.
Very quickly, before we start with our opening statements, I have an update on the papers we've asked to be tabled here.
Mr. Firth has been in contact with our committee regarding bank records related to GC Strategies. According to his accountant, because the payments are older, it's going to require one or two extra days to produce the information. We originally planned to have them already, but it's going to be two more days, which I think is acceptable.
On the second order for production of documents, the different versions of the résumés for the two Botler witnesses have been received and are now with translation.
We're going to start with Mr. MacDonald, I understand, for a five-minute opening statement, and then we'll go to Mr. Utano.
Please go ahead, Mr. MacDonald.
:
Thank you, Mr. Chair and honourable members of the parliamentary committee.
I have submitted the text of my opening remarks, but I'm going to add some words today because of some events last night.
There has been a concerted effort to portray Mr. Utano and me as corrupt. The narrative is compelling, but it's based on untrue allegations. The falsehoods and innuendos have been plastered in the national press. Senior CBSA officials have distanced themselves from us.
[Translation]
Our careers have been put on hold. Our lives have been disrupted.
[English]
Last night, I received an email from a Ms. Simmons, someone I do not know. It said that she hoped I would go to jail, and that among other things, I was corrupt, greedy and a sorry excuse for a human being. She hopes I am ashamed and that I will seek redemption.
These are all based on falsehoods. There was no cozy relationship, no conspiracy and no fraud involving Mr. Utano or me.
I'm grateful to have the opportunity to finally present the truth, address the extraordinary allegations that have been raised by Botler AI, and show through facts that you have been misled.
[Translation]
I will begin by providing you with some background on the ArriveCAN application.
[English]
During COVID, a serious need arose for a national mobile application to enable Canadians to re-enter the country. CBSA's contracting authority, the finance branch, authorized the sole-source, and PSPC negotiated the terms and authored the final contract. Our innovation team was given fewer than five days to pursue options. Six companies were evaluated. GC Strategies and Deloitte were the only vendors willing and able to satisfy the requirements in the narrow time frame.
I was not involved in the GC Strategies vetting. Two options were presented to my superior, then vice-president and chief information officer, Minh Doan. Minh Doan specifically rejected Deloitte as an option. Deloitte had, in fact, been my preference. As a result of the direction given to proceed by Mr. Doan, GC Strategies was recommended to the contracting authority. I was the director general of innovation. The decision was never mine to make.
[Translation]
For 12 months, until May 2021, I led the team responsible for the development and expansion of the ArriveCAN application.
During my participation, all task authorizations provided to GC Strategies were met, on time and on budget.
[English]
Prior to my departure, I provided a costing for ArriveCAN. It was $6.3 million. This was shared with my colleagues and supervisor.
[Translation]
Botler AI's allegations against me are unfounded.
[English]
Most complaints are opinions. Under the slightest scrutiny at this committee, they began to collapse. They told this committee they believed their chatbot would make them $26 million a year. Their disappointment has turned into a campaign of baseless accusations against Mr. Utano and me.
The facts are these: In 2019, Dalian Enterprises competed fairly for a general services IT contract. On November 19, 2019, I received an unsolicited, jointly branded GCS and Botler proposal for Bill . The HR department was the client and decision-maker for the work with Botler. A feasibility study was asked for by CBSA that had six parts. There was never a pilot in scope. My VP instructed me directly to help them deliver an executive-appropriate presentation. I advised my VP that CBSA would use an existing contract. The proper contracting processes were followed. PSPC has validated this.
I have had an unblemished reputation in the public service for 23 years. I have competed openly for every single promotion I have ever received, starting from an entry-level position as a student. My actions have always been guided by a commitment to the public interest. The allegations that have been painted are incomplete and inaccurate—a misleading narrative.
The reality, along with the accountability of the leadership of CBSA.... The result is that my reputation and the careers of good public servants are being shattered.
[Translation]
I thank the members of the committee for the opportunity to share the facts openly and honestly.
:
Thank you, Mr. Chair and members of the committee.
[Translation]
Thank you for the opportunity to appear before you today to answer your questions concerning your study on the ArriveCAN application and, more recently, concerning the allegations put forward by Botler AI regarding the work undertaken when I was at the Canada Border Services Agency.
[English]
Directly and by innuendo, it has been conveyed to this committee that I have committed wrongdoing. I have not. My reputation and career have been attacked, and damage has been inflicted on me both personally and professionally. Today, I will present the facts, and I will speak clearly and honestly about all my actions. I welcome transparency and accountability.
We have provided a brief to this committee with evidence that will substantiate all statements and facts outlined below.
Regarding ArriveCAN, at the onset of the COVID pandemic, I was an executive director at the CBSA, responsible for the prototype and design division, which included the mobile centre of excellence team. In early March 2020, the Public Health Agency of Canada, PHAC, asked the CBSA for urgent assistance to develop technical capabilities needed for contact tracing at the border. No such capabilities existed at that time.
The technical team was responsible for assessing technical solutions needed to fill this operational response in an extremely urgent timeline. Option analyses of this magnitude typically take months, and we were given less than five days. The technical team assessed six in total. Internal development was determined as not feasible, given a shortage of skill set and capacity, and the urgent timeline. An outsourced option was deemed necessary.
The two possible outsourced options were presented. These were the Deloitte and GC Strategies solutions. Both options were sent to the vice-president and chief information officer, Minh Doan, for consideration and a decision. At a team meeting, we were informed that the Deloitte solution was discounted, leaving mobilizing the GC Strategies solution as the only option.
The ArriveCAN app and all its technical components evolved considerably throughout the pandemic from the original concept design. It was created through a collaboration of CBSA employees and over 19 technology vendors. One of these was GC Strategies.
The entire agency's pandemic contact tracing response cost $55 million. This was not all technology development. The breakdown of the spending is published information, and I have included it again for reference.
All GC Strategies task authorizations related to ArriveCAN followed all procurement guidelines. Contracting was overseen and managed by PSPC. My responsibility remained to ensure that the technology requirements were met and delivered on time, and they were.
I will now address the separate issue of Botler AI. To be clear, Botler AI did not work on ArriveCAN and was in no way part of the ArriveCAN program. My involvement with the Botler feasibility study was limited.
On September 27, 2021, shortly after I assumed the role of acting director general, I received an email from Ms. Dutt, with a c.c. to my team. The email raised two issues. The first was a late payment to Botler from the prime contractor, Dalian and Coradix. The second was discontent regarding a private partnership they had established, specifically on the collaboration between Botler AI, Dalian and Coradix, and GC Strategies.
The CBSA responded to Ms. Dutt within 24 hours. This included resolution to the delayed payment, and we reminded Ms. Dutt that the contract between CBSA and Dalian and Coradix had contractual privacy clauses preventing CBSA from discussing private or proprietary matters with subcontractors. Ms. Dutt's letter raised no concerns and no allegations about the CBSA or any of its employees, past or present. In fact, in a follow-up email the next day, Ms. Dutt praised the good relationship and positive experience she had enjoyed to date, working with the CBSA and its employees. Moreover, she expressed her appreciation for the prompt action, and the matter was considered closed.
In December 2021, CBSA's human resources branch declined further work and requested the cancellation of the Botler AI task authorization, citing capacity and staffing issues. The TA was cancelled, and I had no further contact with Botler AI.
I will close on a personal note. I have worked in the technology field for over 24 years. I've dealt with highly sensitive files, operations and Five Eyes partnerships, both domestically and internationally. I understand the seriousness of ensuring that my actions remain bound to the professionalism demanded of a position in the federal public service. I have always upheld these values.
Thank you for your time. I'm willing to answer any questions you may have.
:
Thank you very much, Chair.
On November 4, 2019, two young entrepreneurs, Ritika Dutt and Amir Morv, were contacted by Kristian Firth of GC Strategies regarding a Government of Canada project.
On November 30, Firth stated that he had had a great chat with Cameron from CBSA and that they would act as fast as they could to get Botler a commitment.
Over the course of their interactions, Ms. Dutt stated that Firth had repeatedly stated that the CBSA was very interested. Firth repeatedly communicated that Cameron MacDonald would need to receive benefits as consideration for his role and influence in bringing Botler to the Government of Canada.
Firth stated that MacDonald had then CBSA president, John Ossowski's ear, and that for MacDonald, it was more than credit. Firth just wanted to be sure that MacDonald was taken care of.
The principals met with MacDonald several times. During a meeting called by MacDonald on January 22, 2020, at the Marriott Spin café, MacDonald confirmed over drinks with the principals Firth's statements regarding implementation of Botler as a CBSA pathfinder for the entire Government of Canada-wide implementation.
During another in-person meeting, called by MacDonald on February 6, 2020, which was also attended by Antonio Utano and others, MacDonald provided precise instructions and wording on how to pitch Botler to the president to ensure success.
During the period, MacDonald continued to provide intelligence to Firth on internal high-level executive meetings regarding Botler that were above his pay grade. MacDonald provided direct instructions to be provided via Firth to Botler and the principals in order to guide interactions with other CBSA employees. MacDonald also assigned work delegated to him by his superiors to Botler for completion at the last minute.
Firth regularly asserted MacDonald's influence and insisted that Botler provide whatever was asked by the CBSA, as MacDonald had what he called a very big stick and could get what he wanted. Firth said the CBSA knew where MacDonald was going in the organization and how fast.
Over multiple years of interactions with both Firth and the CBSA mid-management, it has become evident that conscious efforts were made by both parties to isolate and control the flow and narrative of information to the CBSA executive leadership. In this instance, the leadership is defined as the agency's president, vice-president and C-level executive.
As early as November 2019, while Firth was actively communicating messages from MacDonald to Botler, as discussed earlier, Firth stated that Vice-President Doan didn't know that they'd been communicating back and forth with MacDonald.
Firth, on behalf of MacDonald, intervened on multiple occasions when Dutt communicated important information with Ossowski that was targeted at the ministerial and deputy ministerial levels.
Imagine that you are a young entrepreneur, and you've been promised by your contact that the sky is the limit. Your concept and technology can be implemented across the entire Government of Canada, because he knows the man. The man works together with your contact to create magic. The man has contacts and knows what he wants. The man owns a chalet, or is it a cabin?
Picture now that you enter into what you thought was a contract. You'll work hand in hand to create your idea across government, and what do you have to worry about? It's the Government of Canada.
Suddenly, things start to go wrong. You complete some work. You complete some more work, but you don't get paid, so you inquire. You do a little digging, and you're concerned by what you find, so what do you do? You do the right thing. You file a complaint, because when you file a complaint, it will be taken seriously. It will go through the right channels, and it will be addressed, because it's the Government of Canada. Or will it?
Mr. Utano, what did you do when you received the first misconduct report?
:
It means they should have an understanding of the CBSA. They should have an understanding of the government context. They should understand what the business problem is that the CBSA is trying to solve.
At the time, when they were presenting, they did multiple presentations. On December 6, I was not there for the VP presentation. Minh Doan told this committee that he did not follow up and he did not write to Kristian Firth, but he did, and I can submit that email in writing to the committee.
After that, he told me that they were very green, that they presented themselves well, but they were long and they didn't present their technology. He had a problem with that. I have emails that I submitted to the committee that show this.
:
That is a lie told to this committee. Everyone knows it, and we have our team here behind us. Everyone knows that it was his decision to make, not mine.
Others could also confirm that, when he made the decision to eliminate Deloitte, he said it was because the president said that no one could work with Deloitte because of a project involving the CBSA assessment and revenue management branch that was not going well.
The night he made the decision, I called the Deloitte partner to tell him that he would not be selected because of the problems with that project. He told me that my colleague Sandy Kyriakatos, the chief data officer at the CBSA, also told him that she wanted to select Deloitte.
:
Thank you very much to both of you for your testimony.
I just want to be clear from the outset. This committee is not trying to destroy anybody's career, especially that of hard-working public servants, but we need to get to the bottom of this, and we want to make sure that situations like this don't occur again.
Mr. Firth acknowledged that he mistakenly sent Coradix the wrong versions of Ms. Dutt's and Mr. Morv's CVs, in which he had inflated their experience.
Mr. MacDonald, he said he went and did a back-and-forth. Was it a back-and-forth with you before he altered the résumés?
:
Mr. Chair, I don't believe I sent that in an email at all. I believe I read that for the first time in an article that was written poorly.
I know you might not be able to see this, Mr. Johns, but I took that article—I couldn't sleep—and I read out every single timeline that that man quoted, and represented it.
I just want to say to people that the CBSA did not—
I'll stay here all day, Mr. Johns, so you don't need to worry about your time. We can give everybody six more minutes.
:
That was probably a very wise move on your part, because the Auditor General is expanding her review. It started off as ArriveCAN, but because of the story from The Globe and Mail in early October and her concerns about the same players and the same government agencies, she has expanded that review.
More importantly, the RCMP are investigating not ArriveCAN, but the CBSA—all the employees, all of the executives, including both you, Mr. MacDonald, and you, Mr. Utano—as well as other government agencies and the three companies at issue right now—GC Strategies, Dalian and Coradix—as to what truly transpired, as to whether or not there was some criminality, all right? I can understand why you'd want to have counsel.
Putting that aside, both of you, in your opening statements, were very quick to impugn the credibility of the whistle-blowers—I call them the whistle-blowers, the brave two entrepreneurs from Botler AI—and you were prepared to actually throw the press under the bus, particularly The Globe and Mail.
I just want you to be aware, sir, because you used the phrases a lot—that these are allegations and you're here to tell the truth—so I'm going to give you the facts.
What you need to be aware of, sir, is that The Globe and Mail, which started this investigation, analyzed thousands and thousands of pages of documents, released pursuant to access to information requests, that came from the CBSA. The Globe also reviewed extensive documentation compiled by the entrepreneurs themselves, including contracting records and audio recordings of their conversations with IT consultants and both you, Mr. MacDonald, and you, Mr. Utano. We have hours and hours of conversations that are actually recorded, so in my view these aren't allegations. This is fact. This is evidence.
:
I haven't asked you a question yet, sir, okay? This is my time, and this is how I'm ultimately going to frame the question to you. I wanted you to be aware of that, sir. Okay?
When we go back to taking a look at why Botler would have the need to record you, it's very, very clear early on, when you take a look at all of the stories, that they thought it extremely unusual that it was the CBSA—you in particular, sir—who sought them out, and sought them out not directly by yourself or by one of your employees, but rather by a middle person, Kristian Firth, from GC Strategies, because their work previous to this particular engagement was directly with the Department of Justice. They had civil servants.... They reached out directly to Botler. They did the work. They got paid. There was no middleman, no “ghost contractor”, as we like to refer to GC Strategies. I want to bring that to your attention, sir.
Now, you also claim that it wasn't you who initiated the concept of CBSA engaging with Botler. You say it was actually Firth's idea. You know that Firth testified last week. Firth is on record as saying that it wasn't his idea but your idea—that you had researched it, and you wanted him to approach Botler.
Both sets of facts can't be true at the same time. You're saying something completely opposite, so who's lying to committee, Mr. Firth or you?
Thank you, Mr. MacDonald and Mr. Utano, for joining us today.
You said that you preferred Deloitte. I just want to find out Mr. Doan's role in all of this process.
We asked him a question. He said that he has a team that makes a decision. I asked how many people were part of this team, and he said there were “1,400”. I asked if 1,400 people were “making this decision” and then he said that there were six directors. Then I think we asked for some names of who those people are.
You preferred Deloitte. What was the process used to select GC Strategies, and what was Mr. Doan's role in all of that—
:
When you all get your packages, you'll see that there's a Deloitte proposal that was sent by me and there's a GC Strategies proposal that was sent by Mr. Utano.
I had a meeting with Mr. Doan afterwards. Mr. Doan told me that Deloitte was not an option. We talked about the fact that there would need to be a sole-source contract. I have an email in my package from March 24 that I sent Mr. Doan, letting him know that we would have to talk about methods of supply and suppliers, because we didn't have any contracts in place at the time of the pandemic. We would need resource categories that were outside of what we had within the Dalian contract.
We had that discussion, and I was told this: You need to do what you need to do. These are exceptional circumstances. I trust you to get it done.
The whole thing was around whether or not we could have a release within a month or not.
:
Thank you very much, Mr. Chair.
I'm listening and I'm ultimately trying to understand how procurement works and how it has worked, not only with Botler AI, but also with ArriveCAN.
The best example I can give right now is Botler AI's case. The Dalian and Coradix companies, basically two guys, find computer technicians and other computer specialists—such as programmers, designers, network architects, and so on—and provide those resources to the Government of Canada. On the other hand, we have GC Strategies, which does exactly the same thing—that is to say finds specialists in various computer areas. In that case, one uses the other to find contacts, and each time, a profit is made because each party collects its share. If one takes a minimum share of 15% and the other does the same, you end up paying a share on a share to have employees. I think that's huge, massive.
Mr. Utano, was there no one on your teams, absolutely no one, who was able to develop an application for the division of prototypes? Did you not have this in‑house specialization instead of paying millions of dollars in profits to four guys?
:
In fairness, I would say that you delivered a very expensive price tag to Canadians, and that you delivered a lot of Canadians into quarantine who did not meet the necessity to have been ordered into quarantine. They were illegally detained. Those are also outcomes for that project as well.
We've heard one witness who was caught lying to this committee; that was on full display. We've heard assertions that there have been others, so we see, based on the allegations that we've heard from Botler, that there's a network of people who are not following the rules, who are breaking the law. That's why there's an RCMP investigation. You've pushed yourself quite hard against this so that you're not associated with it.
I'm very curious about the motives of everyone involved, about the people who would be lying, so I'm going to ask you a couple of questions. I'd like you to respond as quickly as possible, please.
Based on what you know, was Mr. Firth honest and truthful in all of his presentation and responses to the committee?
:
I'll be as brief as I can, but I really think it's important that this committee understands this.
As the technical authority on the contracts, which is something that the articles and Botler got wrong.... We are the technical authorities; we are not the contract authorities. We are allowed to sign off that we have the funding and the scope. We are not allowed to sign off or push the button to execute any type of contract, negotiate contracts or do any type of invoicing.
At the CBSA, within us, there was a comptrollership, which is under the CFO area. They are responsible for expediting contracts. If it's above a certain threshold, it goes over to PSPC, and they expedite it. I think that's the genesis of some of the problems that were exposed here. They kept calling us contract authorities, which we are not. We were never in a position to put these contracts in place and make contracting decisions.
:
That was my discussion. That was the day Minh Doan threatened me.
The discussion started off with Minh Doan telling me that within CBSA there was a lot of work going on to prepare for OGGO. This was almost a year ago. I believe Mr. Mendicino was not happy. Mr. Mendicino wasn't there when ArriveCAN kicked off and when all of this was going on, but there was a lot of news about ArriveCAN.
Minh was worried that either he or Jonathan Moor was going to get fired, so he was talking about somebody's head on a platter. He said that, because Jonathan Moor had made a whole bunch of mistakes from an accounting perspective about how much ArriveCAN cost, it could go his way, or it could go Mr. Doan's way, because Mr. Doan was the CIO at the time. Then he turned.... We were on the phone, but he stopped the conversation and said, “You know, Cam, if I have to, I'm going to tell the committee that it was you.” He offered me the opportunity to say it was Mr. Utano, or to tell Mr. Doan it was Utano and me, to which I said, “If you do that, I will have to respond,” and we ended the conversation.
That night is the night I wrote him the notes. I stayed up until about three o'clock in the morning trying to figure out how to find some way to meet in the middle. That's why the notes were written exactly that way—so Mr. Doan could come to this committee and present without having—
:
First of all, there was the threat of employment. I had moved on to Health Canada. I had already been gone from the project for a year and a half.
In my opening statement, I think I told the committee that when I left, I delivered a costing, and it was $6.3 million. Now, all of a sudden, in the news and everything else, they were talking about $55 million. Mr. Doan was talking about people getting fired.
I also didn't want my name to come out at this committee. I worked really, really hard during the pandemic, and the thought of being blamed for something that people were painting as bad when we did everything we could to respond during the pandemic.... The whole thing was just a horrible interaction.
:
Sure. I guess the reason I did a timeline that was linear was that when I read the article, there were so many dates that kept popping up, and sometimes they had the year and sometimes they didn't have the year.
I feel that I have been misrepresented by Botler as having pressured them to work with Kristian Firth. They were introduced to me by Kristian Firth. They went around town presenting together as partners. They presented to my VP without my being there, as partners. My VP responded, calling them “the team”.
I feel attacked after the fact, from a Botler perspective, even with Mr. Utano...the email where they're saying that they made these allegations. You guys will get a copy of it. I don't understand why Botler didn't provide a copy to the committee when they started off, because any normal, common-sense person who reads this email will know there are no allegations. They certainly didn't mention me on September 27. Then, all of a sudden, on Twitter, they're dropping all of these audio clips that are clearly edited. They're clearly put together in a way that provides anybody who listens to them with a focus that just doesn't exist.
From my vantage point, Mr. Chair and members of this committee, I don't think Botler was treated unfairly.
I'll make one final point, because you gave me the time and I really appreciate it. I've been trying to make it a couple of times.
When the Crown has a contract with anybody, there's a task authorization. I provided it in my package, and I think it's really important for members to understand this. What Botler did.... The contract was for a feasibility study in six parts. In other words, we're paying for somebody to refurbish the kitchen. They went out back and built a swimming pool, a jungle gym and a garage and wanted to charge the federal government hundreds of thousands of dollars for doing it. The Crown wouldn't pay for that. The Crown pays for what's in the contract.
If people went through the ATIP and read all the documents, they would see that it talks about a discovery plan, a feasibility study, a fit-gap analysis report, a pilot plan and metrics and an executive summary. Nowhere in there does it say “a pilot”. It's a chatbot. Why would the federal government ever pay $26 million a year for a chatbot?
I'll stop there, Mr. Chair.
I take my reputation seriously. I have worked awfully hard to earn one, and I feel that it's been sullied by some of the things that have been said at this committee, in the news and by Botler themselves.
:
Botler would have been a task authorization on an existing contract. I've provided it for your thing. It would have come through as Dalian and Coradix. They would have looked at it for form and fitness. They would have looked at it for compliance within the contract, because the contract itself had a scope and had categories, and PSPC would have done the same thing.
When the contractor then, the prime contractor, who is Dalian, responds to the request, they respond to it with an estimate of the cost, the resources, the security certificates and everything, and that goes through the contracting people. We do the vetting in terms of the contracting team outside of the PSPC, to ensure that they meet the grids, that it's fit and that it's compliant, and then I would sign the task authorization.
:
I just want to be unequivocal about this. I've never had a contractor, a vendor or anybody at my house or at my cottage. I have a little cabin in the woods. I go there sometimes—especially during the pandemic—to get away from things, as I was working extremely hard.
I've met Kristian Firth three times out of a workplace in my entire life. Two of those times were after the pandemic and after ArriveCAN started. Two of the three times were with Mr. Utano and my mobile development team. I was there for about 15 or 20 minutes. I have had lunch with Kristian Firth one time, after the pandemic, before I left the CBSA. I paid my own bill. Those are all the interactions I've had with Mr. Firth. I've had only a professional relationship with Mr. Firth.
I do have fairly informal relationships with people, as I've told this committee. People call me “Cam” all the time. They know they can reach me. I leave my calendar open. I answer my phone. I try to be as open and available as I can to employees, staff and peers.
I was asked to work with private sectors, so anything new or innovative, or anything that sounded interesting, I would obviously be interested in. Mr. Firth had partnered with several different companies in the private sector. He told this committee that he worked with 22 other government departments. He had some $40 million dollars in sales, and he had been fairly successful at doing it. People talk in town.
Mr. Utano can testify to the fact that we called a couple of different departments and did a reference check to see if the work was good—
Thank you, Mr. MacDonald, for clarifying your secondary residence. There was quite an issue last Thursday as to whether or not...cabin, camp, tent, chalet. Thank you for clarifying that.
There is another area I want clarified, sir. I've listened very carefully, and if you said it once you may have said it a half a dozen times, as well as you, Mr. Utano, in terms of being very unequivocal in your responses that it was Mr. Doan who was responsible for retaining GC Strategies with respect to this Botler contract.
I want to confirm that again. That is your evidence. Is that correct?
I'm going to caution you, sir, and if you don't want to answer this I can understand. Your lawyers are present. There is some really damning information in this email, which in my view, as a former prosecutor, encroaches upon criminal law in terms of interfering with witness testimonies.
You're actually specifically coaching them on what to say with anticipated questions put to them.
I'll give you some examples:
I will start by saying that I was not personally familiar with...GC Strategies...during the time in question
If pressed: Come on, we want some accountability here. Who decided? How did this company get a contract for almost 9 Million dollars? Who made money off of this? Who is getting rich off of taxpayer dollars
Mr. Chair, I stand by my statement that I don't believe there was a single person, and I'm not actually aware of any rules being broken or wrong doing. That is not how we operate at the CBSA.
Why are you coaching witnesses who have been compelled to attend at a committee to tell the truth? What on earth compelled you to give these suggested answers to them, sir?
:
Thank you very much, Mr. Chair.
Mr. MacDonald, in your presentation, you said that the feasibility study had six parts, each worth $70,000, and that the work did not include a pilot project.
Do you know how much of that $70,000 was going to Botler AI, GC Strategies, Dalian and Coradix?
:
Okay. However, you're responsible for understanding the follow-up procurement procedures.
Mr. Cameron MacDonald: Yes.
Mr. Gord Johns: PSPC is not a babysitter.
Mr. Utano, you have a subcontractor who no longer feels comfortable associating with your contractors, who's writing to you about non-payment and contract-related issues, and who's asking you for a clean agreement. They're telling you they have no legal or signed agreements with any of the parties, and that they gave no consent for any of the terms.
Are you saying this does not count as a report of misconduct—that none of what it contains could be misconduct?
My colleague.... On the $9 million to GC Strategies, that money certainly could have been saved there.
My last question is this. The principals of Botler have indicated that senior government officials could potentially be receiving kickbacks, both direct and indirect, both for ArriveCAN and potentially for other contracts as well.
Do you have any direct knowledge about senior government officials, either bureaucratic or elected, receiving any form of kickback?
:
That's fair enough. I'm trying to get clarity, just to make sure that we have understood it.
The bottom line is that this committee is concerned. We're concerned about the allegations that have been made. We're concerned about supposed nefarious activities.
You've heard some of the lines of questioning, talking about people not speaking the truth and basically being on the take. We're concerned that that kind of activity exists. A court of public opinion is taking hold because social media is picking up on it too. Obviously, you've been targeted in some of these respects.
I'm going to give you an opportunity to clarify some of that once again, because this is one of my final opportunities to ask you questions on this issue. We want trust in the system. It's a system that's been existing for how long? How long have you been involved in this?
:
Mr. Chair and members of this committee, I can understand and appreciate some of the questions that are being asked and why they're being targeted the way they are.
When you're doing a whole bunch of renovations on your house, a general contractor is beneficial because they are a single throat to choke. In the case of the private sector and its partnerships, my understanding is that PSPC welcomes partnerships.
I think there's a lot of discussion around this table around whether or not subcontracting is useful and good. As a guy who has worked in IT for 19 of the 23 years I've been in government, that's not for me to decide and it's not for me to judge. I think that governments of any colour can decide to change policies if they would like, to allow or change the methods of subcontracting. That's a discussion that may need to take place. That's a study that this committee may want to undertake.
In terms of nefarious activities and some of the things that have been suggested at this committee, I have never seen that in my entire life. I've never seen something called ghost contracting. I have never witnessed, nor would I turn a blind eye to, anybody stealing from the government. I know Mr. Utano wouldn't either.
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I believe they misled this committee. They worked with GC Strategies. They went to 10 different departments.
They've systematically told this committee that they thought they were going to make $26 million a year and that Mr. Utano had told them that they were going to make $26 million a year.
There were no such commitments made. There was no contracting put in place. The CBSA would never have contracted for the federal government. Even in terms of that, as I've clearly stated, the client for Botler wasn't IT. The client was HR. If the client didn't want that work, they didn't do the work.
I left a month and half after the Botler work started. I can't speak to the work and I can't speak to the complaints. I can't speak to the allegations that came a year later. All I can tell you is that the CBSA has never contacted me about ArriveCAN or Botler. The RCMP has never contacted me about Botler.
I've done my best to provide a fulsome recollection of events so that this committee understands what my actions were. I can speak only for my actions.
Mr. MacDonald and Mr. Utano, thank you for your time today.
I need about two minutes of time with everyone.
You gentlemen are welcome to hang around and listen to OGGO intricacies, but otherwise you are dismissed.
Colleagues, on the 21st and the 23rd we had shipbuilding. We've been adding witnesses at a fast past for this study. We will not have time.
I have canvassed many of you, suggesting we push back the 21st and the 23rd for the shipbuilding line by line to later, if everyone is in agreement with that.
I suspect we have the supplementary estimates coming on the 9th. Therefore, we have to fit the ministers as well as the PBO in, unless anyone has an issue with that, specifically.
The other one that's just come up is that Thursday is the three witnesses that I mentioned for PSPC. We've been approached by Mr. Mills, who has appeared often in OGGO with PSPC. He's the ADM. He and Levent Ozmutlu, DG of the strategic policy sector, have asked if they can join the three witnesses from PSPC on Thursday as well.
I'll leave it up to you if you wish that.
Mr. Jowhari.
I just wanted to clarify this. I've just been informed that the three witnesses from PSPC did not refuse to come. They are fine with coming. They've asked for some senior people to join them. A correspondence has been sent to the chair. I suggest the chair share that. I definitely support having those two senior officials join the three witnesses.
I should have done my homework better to understand who those three are, but they are junior staff. Therefore, in my opinion, there does not need to be a summons sent, because they are coming.
All we're trying to decide is whether we can have two other members joining them. I don't see any issue with that.