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Controversial Accenture deal moves ahead

An effort to block a homeland security contract awarded to the company, whose parent is based in Bermuda, stumbles in the House.

Ed Frauenheim Former Staff Writer, News
Ed Frauenheim covers employment trends, specializing in outsourcing, training and pay issues.
Ed Frauenheim

An effort to derail a major homeland security contract awarded to Accenture failed in a vote in the House of Representatives on Friday. A number of Democrats had proposed an amendment designed to prevent funding from being used to implement the contract, which had been made with a group of companies led by Accenture and was worth up to $10 billion. Accenture's U.S.-based unit won the prime contract, but the parent business is based in Bermuda.

"By allowing the Accenture contract to move forward, Congress is sending the wrong message to corporations in the United States--one that says if you play by the rules, and you pay your taxes, you will be at a competitive disadvantage," Congresswoman Rosa DeLauro said in a statement. Accenture did not respond immediately to a request for comment. Earlier, a House committee had approved a measure aimed at blocking the contract.