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The Auditor-General responded on 22 June 2021 to correspondence from Mr Jason Falinski MP dated 27 May 2021, requesting that the Auditor-General conduct an investigation to examine concerns raised by Mr Falinski's constituent regarding the louvre windows selected by the appointed company for the Department of Defence building project — Cook and Tiroas Barracks, Vanuatu.

Auditor-General's response

22 June 2021

Mr Jason Falinski MP
Member for Mackellar, New South Wales
By email: Jason.falinski.mp@aph.gov.au

Dear Mr Falinski

I am writing in response to your letter of 27 May 2021 drawing my attention to the concerns raised by your constituent, Mr Rust, regarding the louvre windows selected by the appointed company, ICON Constructions, for the Department of Defence (Defence) building project — Cook and Tiroas Barracks, Vanuatu.

The Defence Procurement Complaints Scheme has been established by Defence to manage complaints regarding Defence procurement activities. Information about the scheme, including the process for lodging a complaint, is available from https://www1.defence.gov.au/business-industry/procurement/defence-procurement-complaints-scheme.

While at this point I am not intending to include an audit of Defence’s Estate and Infrastructure Group’s management of procurement activities in the Australian National Audit Office’s 2021–22 Annual Audit Work Program, I will continue to review its activities and consider including an audit in the 2022–23 Annual Audit Work Program. The work program is designed to inform the Parliament, the public and government entities of planned audit coverage to commence in the relevant year.

Yours sincerely

Grant Hehir

Correspondence from Mr Jason Falinski MP

Correspondence from Mr Jason Falinski MP. You can find a transcript of the correspondence on this page.

Transcript of letter from Mr Jason Falinski MP

27 May 2021

Auditor-General
Australian National Audit Office
GPO Box 707
CANBERRA ACT 2601

Dear Minister

A constituent of mine, Mr Leigh Rust, Director of Safetyline Jalousie, a manufacturer of performance louvre windows has contacted me regarding a government tender with the Department of Defence.

Icon Construction, an appointed company to deliver a defence project Cook and Tiroas Barracks in Vanuatu ran over budget and as a result decided to seek a cheaper and inferior louvre window product from the USA.  Mr Rust's company stands to lose $1 million. This is a scenario which has transpired on a number of occasions.

Please find attached Mr Rust's correspondence for your perusal.

I am also advising the Minister for Defence the Hon Peter Dutton MP of the issue.

I look forward to your response at your earliest convenience.

Yours sincerely

Jason Falinski

Related documents
Correspondence from Mr Jason Falinski MP (PDF)