Home Affairs secretary Mike Pezzullo with then-immigration minister Scott Morrison (Image: AAP/Dan Peled)

The company at the centre of the latest Home Affairs contract scandal, Paladin, will be allowed to self-report on whether it is meeting the performance requirements of its vast contract to provide services for offshore asylum seekers -- in direct defiance of Audit Office criticism of self-reporting by the company's predecessors.

In a scathing audit report in 2017, the Australian National Audit Office shredded the then-immigration department's management of its offshore detention contracts (the tendering process for which had been the subject of a separate bombshell report). One of the many problems identified by the ANAO was that despite linking contract payments to performance measures, the department simply let contractors like Transfield self-report on how well they were meeting performance measures.