Karl Malenfant, the leader of the SAAQclic initiative, faced scrutiny for not providing full information to government officials during meetings in 2021 and 2022. Testifying at the Gallant Commission in Montreal, Malenfant disclosed a roadmap presented to Minister Bonnardel, outlining a budget of $682 million for the project. However, discrepancies arose regarding the allocation of funds, with questions raised about the completeness and accuracy of the financial details.
During the testimony, it was revealed that the initial contract with the Alliance between SAP-LGS (IBM) did not fully account for the third phase of the project, leading to a shortfall of $46 million. Despite this, Malenfant defended the project’s objectives, emphasizing a focus on managing SAAQ’s assets rather than generating profits.
Additionally, documents unveiled variations in the project’s profitability estimates over time, contradicting earlier claims of a lucrative venture. The evolving nature of financial projections raised concerns about the project’s viability and funding adequacy.
In a subsequent meeting with Minister Caire, a revised presentation omitted references to profitability and acknowledged funding challenges. Malenfant acknowledged awareness of a significant funding gap since 2020, indicating potential risks of Alliance withdrawal and financial losses.
The testimony underscored ongoing disputes over project costs and the need for effective mediation to navigate financial uncertainties. The complexities surrounding budgeting and project sustainability highlighted the intricate dynamics at play within the SAAQclic initiative.