Contract and procurement fraud


The Presolicitation Phase



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Supply Chain Forensics Notes
The Presolicitation Phase



  • In the presolicitation phase, the procuring entity identifies its needs, develops the bid

specifications, determines the method to use for acquiring the goods or services, and develops the criteria used to award the contract.


  • Bid specifications are a list of elements, measurements, materials, characteristics, required functions, and other specific information detailing the goods and services that a procuring entity needs from a contractor.




  • The following flowchart shows the types of procurement fraud schemes that occur during the presolicitation phase.





The Solicitation Phase

  • The solicitation phase involves the bid solicitation, bid preparation, and bid submission.

  • During this phase, the procuring entity prepares the solicitation document, provides notices of solicitation, and issues the solicitation document. After the procuring entity issues the solicitation document, the bidders prepare and submit their bids or proposals.




  • The following flowchart shows the types of procurement fraud schemes that occur during the solicitation phase.






The Bid Evaluation and Award Phase



  • In the bid evaluation and award phase, the procuring entity evaluates the bids or proposals.

  • During this phase, the purchasing entity may conduct discussions/negotiations, and it may give the bidders an opportunity to revise their proposals.

  • The purchasing entity then selects the winning bid or proposal.


The following flowchart shows the types of procurement fraud schemes that occur during the bid evaluation and award phase.



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