Rule 25:
Due diligence
Primary requirement
- Agencies must undertake due diligence appropriate for the value, complexity and risk of the procurement throughout the procurement lifecycle.
Application
- As appropriate, due diligence must include verifying that a supplier:
- is who they claim to be by looking at their legal set-up, including beneficial ownership
- is financially sound by checking their financial history
- can be trusted, including that they do not have a history of bribery and corruption (including foreign bribery)
- has good past performance for delivery, compliance with appropriate health and safety and employment practices and has sound ethics and management 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 the proposal
- understands the contract deliverables and requirements and their obligations.
- should not be excluded from a procurement process under any of the conditions set out in Rule 28.