Consultant who notified Manitoba ombudsman about 'grossly mismanaged' IT project sues province

A Nova Scotia man suing the Manitoba government claims his consulting contract was not renewed because he made a whistleblower complaint about the province's handling of a software project.

David Morash alleges the province breached his contract and the Whistleblower Protection Act, and he's suing for general, special, aggravated and punitive damages, says a statement of claim filed at the Manitoba Court of King's Bench on July 8.

He was initially contracted in 2023 by a computer consultant, on behalf of the province, to work on what the lawsuit calls a SAP — or systems, applications and products in data processing — project.

The project involved updating and integrating data processing and software programs into a single, integrated system for the province, the lawsuit says.

Part of Morash's contract stated that an extension would not be refused if he submitted a disclosure to the Manitoba ombudsman under the Whistleblower Protection Act regarding "gross mismanagement of a public fund or asset" by the province, the suit says.

Morash made such a disclosure to the Manitoba ombudsman in August 2024, alleging wrongdoing at Manitoba's Department of Consumer Protection and Government Services, the lawsuit says.

Disclosure benefited project: suit

Morash alleged that the IT project was being "grossly mismanaged" by the province, "resulting in resource and financial mismanagement," the suit says.

Before making the submission to the ombudsman, Morash tried to raise his concerns about the project with officials on the IT project but was told to contact the ombudsman formally, the lawsuit says.

Morash learned in November that the ombudsman would investigate the disclosure. His lawsuit claims the province ultimately benefited from changes to the project prompted by his disclosure, including restructuring of the project's personnel.

However, Morash's contract was not renewed in January 2025. He claims the province refused to enter into a new agreement with him only because of his submission to the ombudsman.

Morash also submitted a disclosure to the Manitoba ombudsman about his expired contract, claiming it was not renewed in retaliation for his initial disclosure, the lawsuit says.

The ombudsman told Morash in March that the ombudsman's office would not look into the disclosure because it lacked the authority to investigate reprisal complaints made by contractors, rather than public employees, the suit says.

He says he's suffered loss of income and out-of-pocket expenses as a result of the expired contract.

None of the allegations have been proven in court. A statement of defence has not yet been filed.

A provincial spokesperson declined to comment on the lawsuit, given it is currently before the courts.