Auditor General Launches Full Probe of GC Strategies’ $107M Government Contracts
Canada’s Auditor General Karen Hogan announced Monday she will conduct a comprehensive audit of all government contracts awarded to GC Strategies, its predecessor Coredal, and related companies, expanding beyond the controversial ArriveCan app investigation.
Responding to a formal request from the House government operations committee, Hogan confirmed in letters to House Speaker Greg Fergus and MP Andrew Scheer that her office will investigate both direct contracts and subcontracts involving the two-person consulting firm, which has been under intense scrutiny following revelations about its role in the ArriveCan project.
The Comptroller General previously reported that GC Strategies and Coredal received 118 contracts worth $107 million since 2011. Of the $59.5 million spent on ArriveCan, GC Strategies received an estimated $19.1 million up to March 2023.
Related: Company Behind ArriveCAN Has Received $250 Million In Contracts Since Trudeau Sat In Office
Hogan’s March report highlighted serious concerns about the ArriveCan procurement process, including insufficient documentation explaining GC Strategies’ selection and the company’s involvement in developing requirements for a $25-million competitive contract it later won. The Procurement Ombudsman Alexander Jeglic found this contract’s criteria “overly restrictive” and “heavily favoured” GC Strategies.
The firm faces additional controversy following allegations from IT firm Botler AI. Its co-founder, Amir Morv, testified that GC Strategies altered employee resumes without consent for a separate government project and suggested possible “ghost contracting” — billing for work by subcontractors who may not have performed services. While GC Strategies partner Kristian Firth acknowledged the resume alterations as a mistake, he denied the ghost contracting allegations.
The RCMP recently searched Firth’s home office in connection with the Botler AI allegations, though Firth maintains this investigation is unrelated to ArriveCan.
Originally launched as a pandemic border screening tool, ArriveCan later evolved to verify travelers’ vaccination status and currently serves as an optional customs declaration platform. Multiple parliamentary committees continue to investigate the project’s implementation and costs.
The Auditor General’s office is now gathering information to determine the audit’s scope and planning.
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