A former hospital executive and the ex-president of a major construction company in Ontario were convicted of fraud in manipulating the bidding process for a $300 million expansion project at a downtown Toronto hospital. Vas Georgiou, the former chief administrative officer at St. Michael’s Hospital, and John Aquino, the former president of Bondfield Construction, were found guilty on two counts each of fraud over $5,000 in a Toronto court.
Superior Court Justice Peter Bawden stated that the defendants engaged in dishonest behavior throughout the procurement process, with Georgiou providing insider information to Aquino through secret emails to assist Bondfield in winning the bid. This misconduct compromised the competitive nature of the public procurement process, risking public trust and the responsible use of public funds.
Aquino’s response to the verdict was one of disbelief, while his lawyer, Alan Gold, expressed concerns about the judgment’s legal aspects. Georgiou’s lawyer, Peter Brauti, refrained from commenting pending the sentencing phase.
The trial revealed that the two men colluded between 2013 and 2015 to favor Bondfield in the bidding process, despite Georgiou’s obligation to disclose conflicts of interest due to his ties with Aquino. Illicit communications and the sharing of confidential information tainted the transparency and fairness of the contracting process.
While the defense argued that rule breaches did not affect the fairness or cost of the hospital expansion, Justice Bawden dismissed Georgiou’s testimony that he acted in the hospital’s best interests. Aquino was removed as president of Bondfield in 2018, and the company faced financial turmoil, leading to insolvency and legal battles.
The ongoing construction at St. Michael’s Hospital, originally slated for completion in 2019, has faced delays due to the fallout from the fraudulent activities. Unity Health, the hospital’s parent organization, emphasized its commitment to robust procurement processes and compliance following the criminal investigation.
