In December 1999, IBM-GSA was one of three tenderers for theIT outsourcing contract for the Departments of Health, Aged Careand the Health Insurance Commission (the Health Group), along withCSC and EDS. During the tender process, IBM-GSA was supplied withcomputer disks containing critical information relating to finalpricing of their rival tenderers. IBM-GSA subsequently revised itstender after the due deadline and the minister announced they werethe successful bidder.
At the time, the Office of Asset Sales and InformationTechnology Outsourcing (OASITO) described giving IBM-GSA details oftheir rival’s bids as an ‘inadvertent error’. The ministerdismissed the Opposition’s call for an immediate halt to the tenderprocess.
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