CRG Repays $300k for Record Keeping Failure

In Canada, Corporate Research Group (CRG) has voluntarily repaid more than $300k to government procurement agency Public Works Canada (PWGSC), following an audit which found that it had kept insufficient records about some of its government contracts.

Founded in 1982, Ottawa-based CRG specialises in housing and retail market research, as well as offering a range of consultancy services such as policy and program development, real estate advisory services, and mystery shopping. The firm employs a network of more than 700 consultants.

Since 2006, CRG has been awarded 'standing offers' (buying tools for PWGSC) worth more than $45m from the federal government.

However, earlier this year, PWGSC commissioned KPMG to audit around $24m worth of these contracts awarded over the past four years. According to local media reports, this decision was prompted by a whistleblower's claims that a friendship between CRG's founder Brian Card and Tim McGrath, PWGSC's former Assistant Deputy Minister, had created a 'conflict of interest'.

The review found that there had been insufficient records kept for five of the contracts overseen by McGrath, which were valued at $303,737. McGrath voluntarily resigned his post last year after being found in conflict of interest.

While Card acknowledges that in the five cases, proper procedure had not been followed, he points out that for nearly three decades, his firm has provided 'exceptional value' to its clients.

'The work commissioned under these contracts was delivered on time and on budget to the satisfaction of the client,' Card said. 'If mistakes are made, we make a point of going above and beyond to remedy the situation. This case is no exception.'

Web site: www.thecrg.com .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.