26 September 2023

New ICAC Guide to check PS suppliers

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The Independent Commission Against Corruption (ICAC) has released a new Guide to help the NSW public sector conduct due diligence checks on potential suppliers.

ICAC Chief Commissioner, Peter Hall (pictured) said the Guide, Supplier due diligence: a guide for NSW public sector agencies, examined what due diligence was, why, when and how it should be performed, and by whom.

“It notes that NSW public sector agencies spend billions of dollars of taxpayer money on the procurement of goods and services each year, so it helps to have some reliable information about the people and organisations that supply those goods and services,” Chief Commissioner Hall said.

“The ICAC has conducted many investigations concerning procurement which have shown that poor due diligence has contributed to corrupt conduct,” he said.

“By getting it right from the start, through conducting appropriate checks, public sector agencies can help prevent their organisations from being subject to corrupt behaviour.”

Chief Commissioner Hall said the Guide could also help suppliers understand the information they may need to provide should they wish to be engaged by Government Agencies.

“The Guide notes that supplier due diligence is important for ensuring value for money, preventing corrupt conduct, maintaining trust in public administration, and complying with legal and regulatory expectations,” he said.

“It advises that checks may need to occur further along the supply chain should it extend into countries where practices such as forced labour or trafficking in children are common.”

He said the Guide focused on five categories of checks for Agencies to consider based on questions of whether the supplier was genuine, capable and reliable, financially viable, of good repute and integrity, and whether they had the required authorities, licences and status.

“It explores sources for conducting checks, and examines what to look for,” Chief Commissioner Hall said.

The 54-page Guide can be accessed on ICAC’s website at this PS News link.

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