Pension Benefit Guaranty Corporation: Appearance of Improper Influence in Certain Contract Awards

摘要

This report discusses the investigation that you asked us to undertake into alleged contracting irregularities at the Pension Benefit Guaranty Corporation (PBGC). During GAO's management review, as discussed in Ms. Bovbjerg's testimony, weaknesses were identified in PBGC's procurement planning and execution processes. In particular, PBGC lacked a sound business rationale to support its approach for contracting for services at four field office locations for field benefits administration (FBA) and may have limited competition. As a result of information and documentation obtained in the management review, certain contracting irregularities-regarding two contracts that appeared to involve improprieties or potentially illegal activity-were referred to us. We investigated the facts and circumstances surrounding the award of these contracts to Integrated Management Resources Group, Inc. (IMRG). The contracts-an auditing contract and the field benefits administration contract for the FBA office in Atlanta, Georgia-were worth approximately $40 million combined.