KPMG’s Finance Support Award Tainted by Personnel Departure

KPMG LLP improperly received a $35 million contract for combined finance support services from a defense agency because the agency disregarded the departure of a senior financial consultant, the GAO said in a decision released Wednesday.

Protester Sehlke Consulting LLC showed that KPMG received an “exceptional” key personnel factor rating even though the National Reconnaissance Office had actual notice that the consultant was resigning from KPMG’s subcontractor before the start of contract performance, the Government Accountability Office said.

The agency should evaluate KPMG’s bid as submitted without considering the consultant’s availability, or make a new award decision after opening discussions ...