Government Operations Committee on Nov. 7th, 2023

[The Chair, Conservative, Kelly McCauley]

Good afternoon, colleagues.

I call this meeting to order. I'm sorry for the delay. Of course, we had votes.

Welcome to meeting number 84 of the House of Commons Standing Committee on Government Operations and Estimates.

Pursuant to Standing Order 108(2) and the motion adopted by the committee on Monday, October 17, 2022, the committee is meeting on the study of the ArriveCAN application.

I have a friendly reminder. Do not put earpieces next to the microphone, as it causes feedback and potential injury to our interpreters.

Very quickly, before we start with our opening statements, I have an update on the papers we've asked to be tabled here.

Mr. Firth has been in contact with our committee regarding bank records related to GC Strategies. According to his accountant, because the payments are older, it's going to require one or two extra days to produce the information. We originally planned to have them already, but it's going to be two more days, which I think is acceptable.

On the second order for production of documents, the different versions of the résumés for the two Botler witnesses have been received and are now with translation.

We're going to start with Mr. MacDonald, I understand, for a five-minute opening statement, and then we'll go to Mr. Utano.

Please go ahead, Mr. MacDonald.

[Cameron MacDonald, Former Director General, Business Application Services Directorate, Canada Border Services Agency]

Thank you, Mr. Chair and honourable members of the parliamentary committee.

I have submitted the text of my opening remarks, but I'm going to add some words today because of some events last night.

There has been a concerted effort to portray Mr. Utano and me as corrupt. The narrative is compelling, but it's based on untrue allegations. The falsehoods and innuendos have been plastered in the national press. Senior CBSA officials have distanced themselves from us.

Our careers have been put on hold. Our lives have been disrupted.

Last night, I received an email from a Ms. Simmons, someone I do not know. It said that she hoped I would go to jail, and that among other things, I was corrupt, greedy and a sorry excuse for a human being. She hopes I am ashamed and that I will seek redemption.

These are all based on falsehoods. There was no cozy relationship, no conspiracy and no fraud involving Mr. Utano or me.

I'm grateful to have the opportunity to finally present the truth, address the extraordinary allegations that have been raised by Botler AI, and show through facts that you have been misled.

I will begin by providing you with some background on the ArriveCAN application.

During COVID, a serious need arose for a national mobile application to enable Canadians to re-enter the country. CBSA's contracting authority, the finance branch, authorized the sole-source, and PSPC negotiated the terms and authored the final contract. Our innovation team was given fewer than five days to pursue options. Six companies were evaluated. GC Strategies and Deloitte were the only vendors willing and able to satisfy the requirements in the narrow time frame.

I was not involved in the GC Strategies vetting. Two options were presented to my superior, then vice-president and chief information officer, Minh Doan. Minh Doan specifically rejected Deloitte as an option. Deloitte had, in fact, been my preference. As a result of the direction given to proceed by Mr. Doan, GC Strategies was recommended to the contracting authority. I was the director general of innovation. The decision was never mine to make.

For 12 months, until May 2021, I led the team responsible for the development and expansion of the ArriveCAN application.

During my participation, all task authorizations provided to GC Strategies were met, on time and on budget.

Prior to my departure, I provided a costing for ArriveCAN. It was $6.3 million. This was shared with my colleagues and supervisor.

Botler AI's allegations against me are unfounded.

Most complaints are opinions. Under the slightest scrutiny at this committee, they began to collapse. They told this committee they believed their chatbot would make them $26 million a year. Their disappointment has turned into a campaign of baseless accusations against Mr. Utano and me.

The facts are these: In 2019, Dalian Enterprises competed fairly for a general services IT contract. On November 19, 2019, I received an unsolicited, jointly branded GCS and Botler proposal for Bill C-65. The HR department was the client and decision-maker for the work with Botler. A feasibility study was asked for by CBSA that had six parts. There was never a pilot in scope. My VP instructed me directly to help them deliver an executive-appropriate presentation. I advised my VP that CBSA would use an existing contract. The proper contracting processes were followed. PSPC has validated this.

I have had an unblemished reputation in the public service for 23 years. I have competed openly for every single promotion I have ever received, starting from an entry-level position as a student. My actions have always been guided by a commitment to the public interest. The allegations that have been painted are incomplete and inaccurate—a misleading narrative.

The reality, along with the accountability of the leadership of CBSA.... The result is that my reputation and the careers of good public servants are being shattered.

I thank the members of the committee for the opportunity to share the facts openly and honestly.

[The Chair, Conservative, Kelly McCauley]

Thank you, Mr. MacDonald.

Mr. Utano, please go ahead.

[Antonio Utano, Former Executive Director, Border Technologies Innovation Directorate, Canada Border Services Agency]

Thank you, Mr. Chair and members of the committee.

Thank you for the opportunity to appear before you today to answer your questions concerning your study on the ArriveCAN application and, more recently, concerning the allegations put forward by Botler AI regarding the work undertaken when I was at the Canada Border Services Agency.

Directly and by innuendo, it has been conveyed to this committee that I have committed wrongdoing. I have not. My reputation and career have been attacked, and damage has been inflicted on me both personally and professionally. Today, I will present the facts, and I will speak clearly and honestly about all my actions. I welcome transparency and accountability.

We have provided a brief to this committee with evidence that will substantiate all statements and facts outlined below.

Regarding ArriveCAN, at the onset of the COVID pandemic, I was an executive director at the CBSA, responsible for the prototype and design division, which included the mobile centre of excellence team. In early March 2020, the Public Health Agency of Canada, PHAC, asked the CBSA for urgent assistance to develop technical capabilities needed for contact tracing at the border. No such capabilities existed at that time.

The technical team was responsible for assessing technical solutions needed to fill this operational response in an extremely urgent timeline. Option analyses of this magnitude typically take months, and we were given less than five days. The technical team assessed six in total. Internal development was determined as not feasible, given a shortage of skill set and capacity, and the urgent timeline. An outsourced option was deemed necessary.

The two possible outsourced options were presented. These were the Deloitte and GC Strategies solutions. Both options were sent to the vice-president and chief information officer, Minh Doan, for consideration and a decision. At a team meeting, we were informed that the Deloitte solution was discounted, leaving mobilizing the GC Strategies solution as the only option.

The ArriveCAN app and all its technical components evolved considerably throughout the pandemic from the original concept design. It was created through a collaboration of CBSA employees and over 19 technology vendors. One of these was GC Strategies.

The entire agency's pandemic contact tracing response cost $55 million. This was not all technology development. The breakdown of the spending is published information, and I have included it again for reference.

All GC Strategies task authorizations related to ArriveCAN followed all procurement guidelines. Contracting was overseen and managed by PSPC. My responsibility remained to ensure that the technology requirements were met and delivered on time, and they were.

I will now address the separate issue of Botler AI. To be clear, Botler AI did not work on ArriveCAN and was in no way part of the ArriveCAN program. My involvement with the Botler feasibility study was limited.

On September 27, 2021, shortly after I assumed the role of acting director general, I received an email from Ms. Dutt, with a c.c. to my team. The email raised two issues. The first was a late payment to Botler from the prime contractor, Dalian and Coradix. The second was discontent regarding a private partnership they had established, specifically on the collaboration between Botler AI, Dalian and Coradix, and GC Strategies.

The CBSA responded to Ms. Dutt within 24 hours. This included resolution to the delayed payment, and we reminded Ms. Dutt that the contract between CBSA and Dalian and Coradix had contractual privacy clauses preventing CBSA from discussing private or proprietary matters with subcontractors. Ms. Dutt's letter raised no concerns and no allegations about the CBSA or any of its employees, past or present. In fact, in a follow-up email the next day, Ms. Dutt praised the good relationship and positive experience she had enjoyed to date, working with the CBSA and its employees. Moreover, she expressed her appreciation for the prompt action, and the matter was considered closed.

In December 2021, CBSA's human resources branch declined further work and requested the cancellation of the Botler AI task authorization, citing capacity and staffing issues. The TA was cancelled, and I had no further contact with Botler AI.

I will close on a personal note. I have worked in the technology field for over 24 years. I've dealt with highly sensitive files, operations and Five Eyes partnerships, both domestically and internationally. I understand the seriousness of ensuring that my actions remain bound to the professionalism demanded of a position in the federal public service. I have always upheld these values.

Thank you for your time. I'm willing to answer any questions you may have.

[The Chair, Conservative, Kelly McCauley]

Thank you, Mr. Utano.

We'll go to Ms. Kusie, please, for six minutes.

[Stephanie Kusie, Conservative, Calgary Midnapore, AB]

Thank you very much, Chair.

On November 4, 2019, two young entrepreneurs, Ritika Dutt and Amir Morv, were contacted by Kristian Firth of GC Strategies regarding a Government of Canada project.

On November 30, Firth stated that he had had a great chat with Cameron from CBSA and that they would act as fast as they could to get Botler a commitment.

Over the course of their interactions, Ms. Dutt stated that Firth had repeatedly stated that the CBSA was very interested. Firth repeatedly communicated that Cameron MacDonald would need to receive benefits as consideration for his role and influence in bringing Botler to the Government of Canada.

Firth stated that MacDonald had then CBSA president, John Ossowski's ear, and that for MacDonald, it was more than credit. Firth just wanted to be sure that MacDonald was taken care of.

The principals met with MacDonald several times. During a meeting called by MacDonald on January 22, 2020, at the Marriott Spin café, MacDonald confirmed over drinks with the principals Firth's statements regarding implementation of Botler as a CBSA pathfinder for the entire Government of Canada-wide implementation.

During another in-person meeting, called by MacDonald on February 6, 2020, which was also attended by Antonio Utano and others, MacDonald provided precise instructions and wording on how to pitch Botler to the president to ensure success.

During the period, MacDonald continued to provide intelligence to Firth on internal high-level executive meetings regarding Botler that were above his pay grade. MacDonald provided direct instructions to be provided via Firth to Botler and the principals in order to guide interactions with other CBSA employees. MacDonald also assigned work delegated to him by his superiors to Botler for completion at the last minute.

Firth regularly asserted MacDonald's influence and insisted that Botler provide whatever was asked by the CBSA, as MacDonald had what he called a very big stick and could get what he wanted. Firth said the CBSA knew where MacDonald was going in the organization and how fast.

Over multiple years of interactions with both Firth and the CBSA mid-management, it has become evident that conscious efforts were made by both parties to isolate and control the flow and narrative of information to the CBSA executive leadership. In this instance, the leadership is defined as the agency's president, vice-president and C-level executive.

As early as November 2019, while Firth was actively communicating messages from MacDonald to Botler, as discussed earlier, Firth stated that Vice-President Doan didn't know that they'd been communicating back and forth with MacDonald.

Firth, on behalf of MacDonald, intervened on multiple occasions when Dutt communicated important information with Ossowski that was targeted at the ministerial and deputy ministerial levels.

Imagine that you are a young entrepreneur, and you've been promised by your contact that the sky is the limit. Your concept and technology can be implemented across the entire Government of Canada, because he knows the man. The man works together with your contact to create magic. The man has contacts and knows what he wants. The man owns a chalet, or is it a cabin?

Picture now that you enter into what you thought was a contract. You'll work hand in hand to create your idea across government, and what do you have to worry about? It's the Government of Canada.

Suddenly, things start to go wrong. You complete some work. You complete some more work, but you don't get paid, so you inquire. You do a little digging, and you're concerned by what you find, so what do you do? You do the right thing. You file a complaint, because when you file a complaint, it will be taken seriously. It will go through the right channels, and it will be addressed, because it's the Government of Canada. Or will it?

Mr. Utano, what did you do when you received the first misconduct report?

[Antonio Utano]

The correspondence from Ms. Dutt on September 27 was not a report but rather an email. It raised two issues, as I indicated in my opening statement. One was a delayed payment matter, and the other one was a concern about Botler's relationship in the partnership between GC Strategies, Dalian, Coradix and Botler AI. It was nothing more. There were no allegations. I've actually provided the email in this package, for reference.

In fact, I was aware of the email when it first came in. I knew that my team was addressing it, and within 24 hours we successfully resolved the issues, so much so that Ms. Dutt sent a follow-up email the next day, which I also included in this package, expressing her gratitude. Given the nature of the email and the prompt resolution, it wasn't necessary to forward it to my superiors, or Ms. O'Gorman.

[Stephanie Kusie, Conservative, Calgary Midnapore, AB]

Mr. Utano, why is Ms. Dutt saying otherwise now?

She's saying that this was the first instance of submitting that misconduct report in September 2021, which apparently you turned a blind eye to.

[Antonio Utano]

First, I would like to address the turning a blind eye. That's not true. The facts are right here in the brief.

[Stephanie Kusie, Conservative, Calgary Midnapore, AB]

Did you escalate it when you received that report?

Did you bring it to the attention of the vice-president, based upon the procedure as outlined for internal disclosure to a senior officer?

[The Chair, Conservative, Kelly McCauley]

We are basically out of time, unless you have a very quick yes or no.

We'll have to get back to it.

[Antonio Utano]

There were no allegations in the email.

[The Chair, Conservative, Kelly McCauley]

Thank you, Mr. Utano.

Mr. Jowhari, please.

[Majid Jowhari, Liberal, Richmond Hill, ON]

Thank you, Mr. Chair.

Mr. MacDonald, can you explain very briefly what your role was as director general of BTID?

[Cameron MacDonald]

Mr. Chair, the role had been recently created. There was a reorganization in the IT branch, and they decided to go through with the reorganization during the pandemic.

Essentially, I had the responsibility for cloud functions. I had the responsibility for the mobile centre of excellence. I had the responsibility for a prototype and innovation section. I had enterprise architecture, among others.

[Majid Jowhari, Liberal, Richmond Hill, ON]

Did that role entail meeting with vendors?

[Cameron MacDonald]

Yes. It was definitely part of my role.

CBSA is a mainframe shop. It's very old technology. I was required to meet with vendors for new technologies.

[Majid Jowhari, Liberal, Richmond Hill, ON]

Can you tell me when was the first time you met with GC Strategies?

[Cameron MacDonald]

The first time I ever met GC Strategies would have been late 2018 or possibly early 2019.

[Majid Jowhari, Liberal, Richmond Hill, ON]

What were the circumstances around that meeting?

[Cameron MacDonald]

Mr. Firth would have requested a meeting to talk about my business priorities and see what work was going on.

Mr. Firth would send different packages of partnerships that he had been fostering throughout the private sector.

[Majid Jowhari, Liberal, Richmond Hill, ON]

It seems that you had a relationship with GC Strategies.

[Cameron MacDonald]

I had no relationship, Mr. Chair.

[Majid Jowhari, Liberal, Richmond Hill, ON]

It seems there was open communication between your office and GC Strategies and partners around the fact that they could come visit you, ask you what your priorities are and share what they do.

[Cameron MacDonald]

Mr. Chair, I met with IBM. I met with Microsoft.