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The Guardian - AU
The Guardian - AU
National
Ben Doherty and Christopher Knaus

Australia to pay controversial US prisons operator $4.6m for 52 days of transition work on Nauru

Nauru
The US-based Management Training Corporation has been identified as the preferred contractor to take over Australia’s offshore processing regime on Nauru. Photograph: Torsten Blackwood/AFP/Getty Images

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.

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