FUJI-XEROX CONTRACT PROBE BEGINS

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Date: Monday August 21, 2006 01:14:00 pm
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    Contract probe begins
    New
    Zealand has begun making inquiries into a multimillion-dollar Defence
    Force contract for photocopiers and could decide as early as this week
    whether to launch a full investigation.An anonymous whistleblower
    alleged earlier this month that the Defence Force breached guidelines
    issued by government security agency GCSB by awarding a contract for
    copying equipment to Fuji Xerox and that it had given the company
    preferential treatment.The whistleblower, who claimed to work for
    another government department, said copiers tendered to the Defence
    Force by Ricoh, Konica Minolta and Sharp had higher security ratings
    than the products tendered by Xerox.GCSB guidelines say agencies should
    give preference to ICT equipment with a higher evaluation assurance
    level (EAL) rating and must do so if they are used to output secure or
    classified information.”NZDF blatantly ignored GCSB policy, thus
    placing the information they retain in jeopardy, and are also spending
    more taxpayer dollars by doing so,” the whistleblower said.Audit New
    Zealand sector manager Gareth Ellis says the agency has been reviewing
    documentation of the tender.”At the moment we are making preliminary
    inquiries to determine whether or not we will go on to do an
    investigation.”We have got people with experience in procurement so we
    will ask them to take a look and see if there are any areas we need to
    do a bit of work.”There are no set criteria for deciding whether to
    launch an investigation and the terms of reference would depend on the
    nature of any concerns.”If there are any areas of concern in the
    paperwork they would obviously be the focus of the inquiry,” Mr Ellis
    says.Modern copiers double as printers and are usually attached to
    computer networks.They include hard disk drives that can contain
    thousands of pages of copied and printed material. The information on
    these drives can be hacked into or stolen if not properly secured.Mr
    Ellis says Audit New Zealand doesn’t know who the whistleblower is and
    that it is unlikely to attempt to establish their identity. 

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