"Australia to pay controversial US prisons operator $4.6m for 52 days of transition work on Nauru", 21 September 2022

The Australian government will pay $4.6m to a controversial US private prisons operator for 52 days of preparatory work ahead of its expected takeover of the offshore processing regime on Nauru, despite a range of serious allegations made against the company abroad.

The US-based Management and Training Corporation (MTC) has been accused in civil suits of “gross negligence” and “egregious” security failures that allegedly led to the gang-rape of a woman in detention, the murder of two retirees by escaped prisoners, and the months-long solitary confinement of a US citizen wrongfully held in immigration detention. It has also paid a multi-million dollar fine over a government bribery scandal.

Earlier this year, MTC was identified as the preferred contractor to take over the offshore processing regime on Nauru.

Negotiations have not been finalised but the Department of Home Affairs has signed an initial contract designed to allow MTC to commence transition and preparatory activities on Nauru.

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