Parliamentary Committee Notes: Portfolio Review

2022-2023 INDU – Contract for a Telecommunications System for the RCMP
Date:  January 24,2023
Classification: Unclassified
Fully releasable (ATIP)? Yes
Branch / Agency: PACB

CSC

Current status of contracts

• The Correctional Service of Canada (CSC) currently has no contracts with Sinclair Technologies. CSC contracted with this vendor in the past with the last dating over a decade ago, in 2012. Nine contracts had been issued between 2000-2012. These contracts were for small equipment purchases, such as passive components, to meet operational requirements.

Background on historic contracts

• In the Atlantic Region, Springhill Institution purchased a Sencore SLM 1475 signal analyser in 2012 to provide the equipment necessary to test COAX cables, which is still in service and is calibrated every 2 years. ADGA, the maintenance contractor, looks after the Sencore SLM 1475. (Note: we are aware they sent it out to Sinclair for calibration in August 2021, and it will be due next to be sent out to Sinclair in August 2023. ADGA makes the determination of the vendors they utilize.
• In the Quebec Region, radio components, such as antennas, were purchased and installed by other companies prior to 2000 as part of Canada-wide radio installation projects. Any purchases after 2000 supported the maintenance of the existing radio infrastructures at institutions.
• In the Ontario Region, antennas and multi‑couplers (antenna-related component) were purchased from this company in the past for Grand Valley and Bath Institutions, prior to the company being sold. However, these components are passive (not electronic or network connected). Beaver Creek Institution has technologies that are connected to the radio system, including multi‑couplers and some antennas, which are passive components.
• In the Prairie Region, one contract was for a band pass filter and the other one was for a booster. Both are completed and there are no ties to the company for either purchase. At local sites, Stony Mountain Institution has antennas on site from the company, which transmit and receive radio signals for essential communication equipment. Edmonton Institution for Women has one radio filter that connects the radio consolettes to the antenna. Drumheller Institution does have filters for radios from the company and the Regional Psychiatric Centre has radio filters for the radio base stations from the company listed in their database.
• In the Pacific Region, Fraser Valley Institution is the only site that has had equipment provided by this company. The purchase orders, dated August 25, 2005 and April 27, 2010, were for an omnidirectional VHF antenna and a VHF whip antenna. However, the institution installed a new tower in 2013-14. At the time of both purchase orders, this company was not under the ownership of Hytera Communications. The change in ownership occurred in 2017. The old equipment is no longer in use, and there are no ongoing ties with the company.

Protecting Canadians and safeguarding our democracy are top priorities.

• National security should be top of mind in all of the contracting and procurement undertaken by my department and portfolio agencies. This is especially true when purchasing equipment that supports the protection of national security and public safety. 
• To protect national security, there are very strict Government of Canada-wide policies and procedures in place that require each department or agency to identify specific security requirements related to a proposed procurement.
• I surveyed my department and portfolio agencies to look for any contracts with Sinclair Technologies and take whatever steps are needed to mitigate against any potential risks that might exist. 
• I have been informed that RCMP, CBSA and CSC have each purchased a small number of radio parts from Sinclair Technologies, but none of them pose any threat to security.
• All of the national security policies and procedures, as well as applicable rules were followed when procuring the equipment from Sinclair Technologies.
• Nevertheless, I have asked my department and portfolio agencies to ensure all relevant staff are well aware and sufficiently trained in the security requirements associated with their contracting and procurement authorities and responsibilities.

RCMP

• The RCMP bought radio-frequency filtering equipment from Sinclair Technologies through a standing offer in 2021.
• The technology essentially improves audio quality and cannot be used to access RCMP communications, which are also encrypted end-to-end during the Canadian Centre for Cyber Security encryption standard.
• Nevertheless, as a precaution, the RCMP has suspended the use of the standing offer, pending an independent due diligence review by the RCMP audit unit.

CBSA

• The CBSA does not have any contracts with Sinclair Technologies, but does have a small number of radio components manufactured by the company that require connection with a transmitter or receiver that are made by American and New Zealand companies.
• CBSA bought 589 radio components since 2016 and has replaced 464 of them to date. The remaining 125 radio components will be replaced before March 1, 2023, leaving about 6000 fully encrypted digital radios in operation.

CSC

• The Correctional Service of Canada has no contracts with Sinclair Technologies.
• CSC contracted with this vendor over a decade ago, in 2012, for small equipment purchases, such as passive components, to meet operational requirements.

If pressed (CSIS)

• Given its mandate and specific operational requirements, CSIS does not generally disclose details related to third party contractors or expenditures beyond those publicly reported in the Estimates, Public Accounts, and the Budget.

Date modified:

2023-05-23