A recent change in the integrity policy of the Department of
Public Works and Government Services Canada (Public Works) has
resulted in a prominent consulting firm being effectively banned
from making future bids for services to the department.
On July 30, 2012, Corporate Research Group Ltd. (CRG) pleaded guilty to a criminal charge of
bid-rigging for real estate advisory services contracts with the
federal government. It was fined $125,000. According to the
Competition Bureau news release at the time, CRG and Louis
Facchini, who ran First Porter Consultancy, had submitted
coordinated bids under an agreement not disclosed to Public
Under a "leniency exemption," Public Works had
permitted firms operating under leniency programs, such as the
Bureau's Leniency Program, to continue to act as
suppliers. That has now changed.
On November 9, 2012, Public Works implemented Policy
Notification PN-107, which revised the integrity provisions
of the department's Supply Manual and its Standard Acquisition
Clauses and Conditions Manual. Most notably, Public Works has
removed the leniency exemption from its integrity policy. Now,
Public Works "will not enter into a contract or real property
transaction, or accept bids from companies convicted of listed
offences unless they have received a pardon, or capacities restored
by Governor-in-Council". The change is intended to
"strengthen the integrity of procurement and real property
As a result of this change, Public Works will no longer accept
bids from companies like CRG that have been convicted of a listed
offence (which includes criminal offences under the Competition
Act), even if they participated in the Bureau's Leniency
Program. In addition, existing contracts with such suppliers will
be subject to "heightened scrutiny and oversight", with
"rigorous controls" put in place in order to
"protect taxpayers' interests".
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
To print this article, all you need is to be registered on Mondaq.com.
Click to Login as an existing user or Register so you can print this article.
The Commissioner of Competition addressed innovation, enforcement and policy initiatives at the Competition Bureau in his keynote speech, "Strengthening Competition: Innovation, Collaboration and Transparency."
Used car listing website operator CarGurus Inc.'s attempt to force rival Trader Corporation to supply it with vehicle listing data has encountered a dead end as the Competition Tribunal denied it leave to commence a private application under several provisions of the Competition Act.
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).