There is a long story going on between IBM and the state of Queensland, Australia, over a project which originally costs AUS$6 million and escalated into an out-of-control AUS$1.2 billion (about $1.09 billion).
The story is in it’s way to climax, as Queensland is taking IBM to court. In 2007, the IBM team won a contract to create a a new payroll application for the Queensland’s Department of Health using SAP software in AUS$6 million. The team bought a big change after telling its real cost which was around $27 million.
Things got worst when there was nothing working among both, around 1000 people worked for this project. In August, the government banned IBM from future contracts in Queensland. However, there held an investigation about the wrong done from both the sides.
IBM sent Business Insider this statement.
“We are disappointed by what appears to be the government’s continued efforts to make IBM a political scapegoat. In the process of unjustifiably shifting blame to IBM, the government seeks to evade the deal it struck years ago to settle its disputes with IBM. IBM will defend itself vigorously against any proceedings commenced by the Queensland Government.”