David
PARKER
Export Growth and Trade Spokesperson
19 August 2015
Saudi tender process reeks of SkyCity approach
The tender process for the $6m investment in a Saudi sheep farm reeks like the SkyCity convention centre deal and once
again contravenes the government’s own procurement rules, says Labour’s Export Growth and Trade spokesperson David
Parker.
“The $6m contract for the Saudi sheep farm was awarded to Brownrigg Agriculture – long-time business associates and now
partners of the Saudi businessman Hmood Al-Khalaf. This is separate to the $4 million cash payment to the Al Khalaf
Group.
“During the contracting process Brownrigg Agriculture was paid to provide advice on the so-called business case and was
paid by MFAT to travel to Saudi Arabia as part of a team to develop it. The planned second phase of the competitive
contracting process was then cancelled and Brownrigg Agriculture was awarded the contract.
“This directly contravenes Rule 21 of the Government Rules of Sourcing that states: ‘an agency should not purchase
procurement advice from a supplier that has a commercial interest in the contract opportunity, because to do so would
prejudice fair competition’.
“That is yet more serious wrong doing by Mr McCully. Cabinet’s explicit requirement for ‘strict conformity with
government procurement rules’ was ignored.
“It’s just like the tender process for the SkyCity convention centre which the Auditor General heavily criticised as
favouring SkyCity over other bidders.
“National runs roughshod over good government to get its dodgy deals done and is undermining our international
reputation for fair dealing,” says David Parker.
ends