Cosatu has called on the Public Protector to investigate allegations that Western Cape Premier Helen Zille's office flouted tender procedures when it awarded a communications contract the union federation claims was worth R1-billion.
The Sunday Times reported yesterday that the tender, awarded to advertising agency TBWA Hunt Lascaris, was not advertised or placed on the tender bulletin as required by Treasury regulations.
The newspaper also reported that a scathing review compiled by the province's treasury department found that the process to appoint TBWA "revealed a lack of control measures and good governance principles".
Tony Ehrenreich, Cosatu's Western Cape secretary, yesterday urged Zille to suspend the tender.
"This is the tip of a sophisticated tender corruption and collusion between big companies and the DA, some of whom are DA election funders whom they did not want to declare. Cosatu calls on the Public Protector to do a detailed investigation of the premier's office and of moves to centralise tenders under her department."
Zille denied allegations of foul play and dismissed the R1-billion price tag as "pure fabrication". She said: "There is absolutely no truth in the suggestion that there was anything improper or unprocedural in awarding this tender."
She would ask the auditor-general to investigate as her department had nothing to hide.
A TBWA executive said it was not aware of the concerns raised. - Additional reporting by Sapa
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