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Asked by
Tangi Utikere
Member for Palmerston North · Labour Party
Question
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What due diligence was undertaken on Starboard Maritime Intelligence's ownership structure, investor base, and corporate governance arrangements prior to the award of the all-of-government Data Fusion System contract to Starboard in 2024?
Answered by
Hon Chris Penk
Member for Kaipara ki Mahurangi · National Party · Minister of Defence
Answer
The standard practice of the Ministry of Defence includes the following due diligence checks when entering an agreement or contract with a supplier: • is who they claim to be by looking at their legal set-up • is financially sound by checking their financial history • can be trusted – check corruption indicators • has good past performance of appropriate health and safety and employment practices • has the capacity, capability and expertise to deliver, based on past performance • has the right systems and processes to be able to deliver • can deliver what you need for the price quoted – test the assumptions in their proposal • understands the contract deliverables and requirements and their obligations Information regarding the purchase of the Data Fusion System can be found in the proactively released Cabinet material here: https://www.defence.govt.nz/publications/maritime-security-all-of-government-maritime-data-fusion-system/ Specific details relating to Starboard Maritime Intelligence are commercially sensitive.