Robert Whitely was the [[United States Department of Justice|DOJ]]'s auditor on the [[Inslaw Corporation|Inslaw]] contract. He played a role in the events surrounding the advance payments dispute and the DOJ's demand for a copy of [[PROMIS]].
In November 1982, Whitely informed [[Peter Videnieks]], the contracting officer, that based on his review of Inslaw's financial statements and discussions with Inslaw's accountants, he believed [[INSLAW]] was insolvent. This information contributed to Videnieks' decision to terminate the advance payments provision of the contract. Whitely testified that after reviewing Inslaw's financial statements and meeting with their accountants, he expressed his view that Inslaw was either insolvent or nearly so. The Special Counsel's investigation found that Whitely's testimony was credible and that the evidence supported the DOJ's claim that its employees were genuinely concerned about Inslaw's financial health.
The report noted that Bankruptcy Judge Bason had dismissed Whitely's testimony as "manufactured solely for use at trial," but the Special Counsel found this assertion to be incorrect, citing Whitely's work papers and deposition testimony as evidence of his consistent concerns about Inslaw's financial viability. The investigation concluded that the DOJ's demand for a copy of PROMIS was made in good faith due to concerns about Inslaw's potential failure, which would leave the government vulnerable.[^1]
### Footnotes
[^1]: U.S. Department of Justice. *Report of Special Counsel Nicholas J. Bua to the Attorney General of the United States Regarding the Allegations of Inslaw, Inc.* March 1993. (Hereafter, "Bua Report")