Canada's Foreign Affairs Department's Abysmal Oblivion

"We only perform assessments when we are approached by departments making decisions."

"The nature of the technology has evolved so that (X-ray machines provided by Nuctech) actually could gather information."

Michele Mullen, director-general, Canadian Centre for Cyber Security

 

"The security and safety of people in our embassies, consulates and high commissions around the globe is a top priority."

"We are currently looking into the offer with Nuctech Company to provide some security screening equipment in our missions abroad. This standing offer is not a contract, and Global Affairs has not purchased any equipment from Nuctech at this time. Any possible issue relative to security or safety will be properly reviewed and all appropriate actions taken to ensure the safety of our missions around the world."

"[I have] today directed [Global Affairs Canada] officials to review our purchasing practices when it comes to security equipment and to continue reviewing the security of our missions around the world."

(Then) Foreign Affairs Minister François-Philippe Champagne -- July 2020

A Nuctech Company at a trade show in Germany in 2017. Photo by Dado Galdieri/Bloomberg/File

"Security subject matter experts are not typically included in the procurement planning process."

"[We recommend that process undergo change to ensure in future specialists involved] increases the likelihood that security requirements will be identified in a more timely manner."

Deloitte consultants

"We paid a quarter of a million dollars for a report that essentially says, 'Don't buy sensitive security equipment from despotic regimes that spy on you and keep your citizens in their jails'."

"[My concern is a] weird culture at Global Affairs Canada of not questioning the Chinese government."

Conservative Member of Parliament Kelly McCauley

 

"Nuctech has been involved in several controversies, including alleged bribery cases in Africa and Taiwan, and allegations the company sold inferior products at inflated prices to Malaysia and the Philippines."

"The company is also accused of selling their products at a loss as part of a long-term strategy of dominating the market."

Global Affairs security specialists

"[The department] has not and will not use the Nuctech standing offer."

"Global Affairs Canada is working with Public Services and Procurement Canada, Public Safety Canada and the Communications Security Establishment of Canada on this improved procurement process."

Global Affairs Canada statement

Canada's Department of Foreign Affairs, cutely re-named Global Affairs Canada by Justin Trudeau's conversion team intent on proving that 'Canada is back!' by changing the names of many government departments, appears to have gone out of its way to synchronize its perceptions of China with that of the Office of the Prime Minister, itself reflecting a demented bias by Justin Trudeau in favour of China, as a kind of fanciful extension of his fascination with dictatorial regimes.

Had it not been for the investigative work of a journalist resulting in an exposure article that was published in the National Post newspaper highlighting the peculiarity of a Chinese company authorized to provide security equipment to the department to be used in Canada's embassies and consulates abroad, the agreement would have proceeded, leaving Canada vulnerable to the data predation of a country known for its invasive interference in the affairs of other countries alongside its well-earned reputation as a major spying and security threat.

 

Procurement Canada (formerly known as Public Works and Government Services Canada), had chosen Nuctech, a company closely tied to the Chinese military, for a $6.8 million standing offer including delivery, installation, operator training and software related to X-ray machines to be used at Canadian embassies around the world. A whole host of other companies had bid for the contract, including a Canadian firm, but Nuctech's offer was the lowest in cost and that, evidently made it a winner.

 

This, despite Beijing's crude verbal attacks on Canada, its spiking of longstanding contract shipments of canola from Canada, of pork and other meat and grains, in an effort to force the release of Huawei CFO Meng Wanzhou held in Canada on a U.S. extradition warrant, when the arrest and imprisonment of two Canadian businessmen in China on specious charges of espionage failed to cow Canada into allowing Meng to return to China despite the Canadian legal obligation to honour a treaty with the U.S.

 

When the National Post questioned Global Affairs' decision to use a Chinese company in the provision of sensitive equipment, it sent the department into a flurry of action. After the fact of selecting Nuctech it tasked its security specialists to review the deal, and they concluded the Chinese X-ray machines could "provide numerous opportunities for attack", modifications to covertly collect information and images at the embassies, among them.

 

Public opinion was aroused at the revelations and questions were being raised in the House of Commons at yet another awkward and fairly unintelligent decision by a government agency, appearing to reflect the oblivious detachment of the Liberal government to the situation respecting Chinese aggression and underhanded diplomacy, leading Global Affairs to contact consulting firm Deloitte to examine the procurement system leading to the Nuctech contract award.

 

Following its investigation Deloitte recommended the department be more alert to security considerations in such sensitive areas with the acquisition of equipment capable of infiltration. Their documents circulated to the House of Commons government operations committee reflect a total lack of common sense by federal bureaucrats in consideration of a relationship with a country whose spying track record is well-known and universally deplored. They neglected to involve their own in-house security group to establish grounds to support their decision, to begin with.

 

Conservative MP McCauley spoke of his concern that Global Affairs staff expressed misleading claims to Fancois-Philippe Champagne, at that time Minister of Foreign Affairs, assuring him that security protocols were not in question for these X-ray machines since they lacked the capacity to store data. Yet the documents the committee saw from Deloitte clearly indicate one of the requirements for the X-ray machines was to store data and another a capability to transfer that data to other equipment; which is to say these requirements were outlined by Global Affairs in the original standing offer. 

Global Affairs Minister François-Philippe Champagne. Photo by Adrian Wyld/The Canadian Press/File

And since the Chinese company offered its equipment at the lowest price while still meeting the requirements set out, the contract was awarded accordingly. Back in November federal procurement officials informed Members of Parliament on the government operations committee they could not guarantee Nuctech would not win any future government contracts since it all depends on whether equipment is deemed security-sensitive.

The U.S. banned use of Nuctech X=ray scanners at airports nationwide in 2014 on this very issue of security concerns. Nuctech responded to the news article critical of the agreement for its equipment, noting that the firm has placed security equipment on contract in over 160 nations, denying it was selling its products at unfairly low prices. The Chinese government, it insisted, did not exert control over it ... despite its connection with the military, despite that Beijing informed all Chinese companies that they are expected to 'co-operate' with the government known for its infamous covert intrusions into other nations' security.