Boston Consulting Group accused in Senate inquiry of securing contract extension through ‘cosy relations’ with officials

Exclusive: BCG relied on ‘verbal agreements’ with senior bureaucrats to secure extra $880,000, according to emails attached to a submission to Senate inquiry

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Boston Consulting Group has been accused in a submission to a Senate inquiry of relying on “cosy relations” and “verbal agreements” with senior bureaucrats to secure a lucrative contract extension that was found to have breached procurement rules and could not be assessed as to whether it represented value for money.

Emails accepted as part of a submission to the inquiry into consulting services provided to the Australian government show BCG suggested senior bureaucrats could amend an initial $1.8m contract to provide the firm with an extra $880,000 for research related to people with a partial capacity to work.

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