Parliament told of $16m in fees to consulting firm that gained meetings with Stuart Robert

A consulting firm that helped its clients meet former cabinet minister Stuart Robert gained fees of $16 million from global tech giant Infosys for work done on some of the country’s biggest government computer projects.

Infosys paid the money over five years at a time when its Australian chief, Andrew Groth, held 11 meetings with Robert to talk about major projects and digital transformation, sometimes without public servants being present.

A consulting firm that helped its clients meet former cabinet minister Stuart Robert gained fees of $16 million from global tech giant Infosys for work done on some of the country’s biggest government computer projects.Credit: Alex Ellinghausen

The new details highlight concerns about leaked emails that revealed lengthy contact between Robert and his consultant friend, David Milo, whose firm Synergy 360 asked big companies for “success fees” to line up contracts in Canberra.

The funding was disclosed in testimony to federal parliament’s Joint Committee of Public Accounts and Audit on Friday afternoon, offering the first public evidence about the scale of the payments to Synergy 360 by one of its clients.

Groth, the head of Infosys in Australia and New Zealand, confirmed that he met Robert in Sydney on June 26, 2019, before the Commonwealth finalised a huge contract with the tech giant months later.

Groth said the meeting was about digital transformation and did not involve the looming contract for a project known as the Entitlement Calculation Engine at Services Australia, an agency Robert oversaw as minister.

“That was a meeting that was requested by Mr Robert,” Groth told the parliamentary inquiry.

“He was talking about the potential vision for the digital transformation of Australia. There was no discussion at that meeting about the ECE tender. In fact, we were very deliberate about that.”

Infosys became a key supplier to Services Australia in November 2019 when it won the ECE contract to process income support, an ambitious idea to transfer the payment system from an old mainframe. Infosys struggled to deliver results and the federal agency later chose to do much of the work itself.

The chair of the committee, Labor MP Julian Hill, asked the Infosys chief about a series of meetings before and after the contract was finalised in November to see if Robert helped the company with its government business.

Groth confirmed he met Robert in Sydney on November 19, 2019, to discuss the ECE project and said no public servants were present.

He also confirmed Milo sent him information about the minister’s thoughts on the ECE project after Milo met Robert on the Gold Coast in December 2019 at the home of their mutual friend, John Margerison.

Groth added, however, that he and others from Infosys were also in close contact with Services Australia directly about the progress of the project.

He confirmed Infosys received about $190 million over recent years from Services Australia for the ECE project and other work.

Robert has denied receiving any payment for his help to Milo and others, saying: “I have never assisted any companies to win any contracts. If my advice is sought, I provide it freely.”

Milo has denied working as a lobbyist to secure business with the government.

While this masthead revealed a series of leaked emails last November and December that showed Robert was in regular contact with Milo about corporate clients such as Infosys and another tech giant, Unisys, the testimony on Friday highlighted the revenue at stake.

Groth told the committee that Infosys paid Synergy 360 fees worth $16 million over five years for work across federal and state governments, including a monthly retainer.

He said 15 per cent of the amount was for success fees, 15 per cent was for business development and 70 per cent was for services on projects.

Liberal senator Linda Reynolds and Nationals senator Matt Canavan protested at times during the hearing over the way Hill asked for details about Robert, who resigned from parliament last month.

Government Services Minister Bill Shorten told question time on Thursday that Robert’s conduct was not “business as usual” for members of parliament.

“Was Mr Robert a shadow director of Synergy 360?” Shorten asked parliament.

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