Gauteng contracts worth R962m awarded without tender
Seventeen contracts worth R962 million were awarded without tender by the Gauteng Department of Public Transport, Roads and Works between 2006 and 2009. This is revealed in a written reply to questions from the Democratic alliance by Gauteng Roads and Transport MEC Bheki Nkosi.
"While some of these contracts can be justified on the basis of sole supplier, others look decidedly fishy and should have gone out on open tender so as to get best value for money.The largest contract awarded without tender was for R537 million in October 2008 to Tau Pride and Maziya Construction to complete the Jabulani hospital in Soweto after the previous contractor failed to deliver," says Jack Bloom, DA Gauteng Corruption Spokesman.
Other contracts include:
- R35m to Price Waterhouse Coopers in October 2006 for a Turnaround Strategy
- R3.8m to Ms Nomvula Maswanganyi of Acresa Consulting in October 2007 as task team convener to finalise Phase 1 of the Turnaround Strategy
- R232m in February 2008 to Questek for electronic monitoring
- R12.2m to Bhekanani Building Construction in December 2008 for a new ward at Sterkfontein Hospital
- R6.3m to Idzima Training in June 2008 for reconciliation of road traffic fees
"These contracts were all given when this department was headed by Mr Sibusiso Buthelezi, who left the department in November last year with a R1 million payout after a settlement agreement following the highly critical findings of the Resolve Group report into allegations of irregular contract awards," says Bloom.
According to Nkosi “Since October 2009 all contracts relating to the Department of Roads and Transport have been subjected to a process of review. At this point in time 205 contracts have been reviewed by the department.”
"This highlights the immense damage suffered by this department under Buthelezi, yet no charges have so far been laid against him. More vigorous efforts are needed to investigate suspicious contracts, prosecute where indicated and recover wasted money," he says.