Article: Qinetiq's flotation is slammed.

THE privatisation of defence firm Qinetiq seriously undervalued the firm and left the taxpayer out of pocket, an influential report has concluded.

The National Audit Office, which investigates government waste, said the business was undervalued, although the taxpayer has so far benefited by more than [pounds sterling]570m.

It was also critical of the process that created multi-million-pound windfalls for former civil servants and led to a huge profit for the American private equity firm Carlyle.

The government sold off about a third of the firm to Carlyle in 2002, with the audit office estimating the price tag was about [pounds ...

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