The SFO probe follows two senior staff going from Auckland Transport.
Of particular interest to the investigation is the $420 million in road maintenance contracts issued in June.
In an internal memo to Auckland Transport staff (quoted in the Herald on Sunday) chief executive David Warburton says: “As you will be aware, for a number of weeks we have been conducting an investigation into both staff and external third parties in relation to serious allegations of possible misuse of public monies …
“Invoice, contract and other documentation dating back to 2010 has been reviewed and a number of staff, contractor representatives and other stakeholders have been interviewed.
“The first phase of that internal inquiry has concluded and we have now handed our findings over to the Serious Fraud Office.”
Simon Everett of Blacktop Construction Ltd – now in receivership – told the Herald on Sunday that Blacktop found itself squeezed out of the major road maintenance contracts, deals now the subject of the Serious Fraud Office investigation.
Everett, 44, says Blacktop refused to provide inducements and his company paid the price.
“We just didn’t play that game … and we were left out in the cold as a result.”
Read earlier story here: http://www.dieseltalk.co.nz/index.php?option=com_content&view=article&id=2486:lowball-bidding-floors-road-surfacing-company-&catid=36:government&Itemid=53
Offices at several major roading contractors and subcontractors have been raided by fraud investigators.
SFO acting chief executive Simon McArley told the Herald on Sunday that he would not name the businesses raided.
“We are looking at all the suppliers.”
The downfall of Blacktop leaves a ‘big five’ companies to bid for road maintenance contracts in Auckland – Fulton Hogan, Higgins, Transfield, Downer and Heb.
Auckland Transport’s maintenance contracts manager Barry George resigned weeks after his hard drive was seized by corporate fraud investigators.
His former Rodney District Council colleague Murray Noone was fired last month for “serious conflict-of-interest and performance issues” as part of the same investigation.
The Serious Fraud Office raided addresses last week, believed to include the offices of contractors involved in the investigation.
