G4S pulls out of £150m government contract after scandals

Security firm G4S, which came under fire for its failure to provide sufficient security during the Olympics, has dropped out of the bidding for a government electronic tagging contract worth £150m.

The news comes after the Serious Fraud Office (SFO) was asked to launch an inquiry into the firm’s conduct over the existing tagging contract. It was alleged that G4S charged the government for tagging offenders who had died, been returned to prison, left the country or who had never been put on the tagging scheme in the first place.

Justice Secretary Chris Grayling said: “I made it clear last month that I wanted G4S to withdraw from the competition for the new electronic monitoring contract. They refused to do so then. I am glad they have decided to withdraw now.”

He added: “We can now get on with awarding that contract, which will improve the monitoring of offenders and deliver savings for the taxpayer.”

A G4S spokesperson said: “We remain committed to resolving the contractual issues raised by the MoJ in connection with historical billing on the electronic monitoring contracts.”

 

Related images

  • Gift after gaffe:G4S donates £2.5m to Armed Forces for help at Games

Social Bookmarks