Home Contract Mismanagement US Fraud G4S/Wackenhut Faces Debarment From Los Angeles City Contracts

G4S/Wackenhut Faces Debarment From Los Angeles City Contracts

SOURCE: WISTV NEWS 10, June 26, 2007 —

hollywood-sign-ftrThe City of Los Angeles is launching an investigation into security contractor Wackenhut Corporation/G4S’compliance with the city’s Responsible Contractor Policy, a probe that could result in debarment from city contracts for five years. Prior to the investigation, Wackenhut had more than $5 million annually in contracts with the City of Los Angeles to guard at least two dozen buildings and public places including Los Angeles City Hall East; Mount Lee — the home of the famous Hollywood sign; the Ed Davis Training Facility, which is the newest and most elaborate LAPD training facility; other parks, performing arts centers, and the Watts and Van Nuys city halls.

In addition to launching the investigation, Los Angeles did not select Wackenhut for future city work worth up to an estimated $20 million over three years. Wackenhut Corporation formerly had the largest piece of this city account. They were first selected in 2004 for a three-year contract along with four other contractors for the Los Angeles security work.

Under the Responsible Contractor Program (RCP), the City determines whether the prospective contractor is one that has the necessary quality, fitness and capacity to perform the work set forth in the contract. Irresponsible contractors with poor performance of other contracts; failure to comply with relevant laws and regulations; and shoddy record of business integrity are not eligible for city contracts for up to five years according to the Los Angeles Administrative Code Section 10.40.2(a), Ordinance No.#17367.

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