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South Africa : North West Local Government and Human Settlements on awarding of tenders to Wandile Bozwana.

Department sets the record straight on awarding of tenders

The Department wishes to respond to an article published in the Sowetan of 23 November 2015, page 2 with the headline: Wandile was challenging tenders awards , as follows:

The late Wandile Bozwana, who had several business interests and companies that were registered with the Department failed to win tenders as follows:

1. Why did Cross Border failed to win tenders:

Cross Border Consultants (Pty)Ltd has not been awarded any work by the Department to date. The company does not have a civil enegineering (CE) rating, which is a requirement in terms of work for installation of services which is a requirement in terms of works for installation of services.

Tshenolo, Cross Border and Proplan consortium to which the complainant s company is a member has been awarded for the construction of community residential units (CRU) in the Matlosana area. At the time of the referral of the dispute to court, the project was under construction and is due for completion before the end of the calendar year.

Tshenolo resources (PTY)Ltd has no contract with the Department

2. CIDB requirement

Five of the seven projects at issue did not have the CIDB grading as a requirement. The CIBD Act and Regulations confirms that the Homebuilders in terms of Section 10 of the Housing Consumer Protection Measures Act 95 of 1998, is exempted from registration with CIDB. These five (5) projects were awarded for top structure construction of low cost housing and the applicable requirement is thus registration with the National Homebuilders Regulatory Council (NHBRC).

The other two projects listed were for the installation of internal services and as such require CIDB grading for Civil Engineering (CE). For the record, the requirement for the two projects were for a grading of 5 CE and 4 CE respectively. The Department can therefore confirm that the companies appointed had grading of 7CE PE and 8CE PE ratings respectively. Accordingly, the companies appointed for the projects did meet the minimum requirements set.

3. Flawed Procurement process

The article also states that in his affidavit, the late Mr Bozwana alleged that the Department s tender processes were flawed, hence the non-appointment of his company/ies for project/s. The deceased had more than one company registered on the Departmental data base for preferred service providers. Accordingly he had a company which has benefited from the same process which he had never complained of, this not until he referred us to court in the current matter.

The Department wishes to highlight that the procurement system, which is used by other Departments from various provinces, has on an annual basis been audited by the Auditor General (AG) since the 2010 financial year. For the record, the AG never found issue with the Department s procurement processes.

4. Interdict

The article further states Cross Border Consultants (PTY) Ltd obtained a court interdict in terms of which implementation of two (2) of our projects have been stopped. The Department has since taken the matter on appeal, which appeal was recently removed from the roll for argument owing to the fact that the Mr Wandile Bozwana (late) indicated that they did not have proper instructions to proceed with the matter. To this end, The Department can confirm that the attorneys confirmed that the Cross Border Consultants (PTY)Ltd has since been placed under administration hence they did not have instructions to proceed.

Notwithstanding the above, the Department s view has always been that the interdict is wrongly founded in that the projects interdicted did not have CIBD as a requirement for appointment.

The Department with the assistance of the state attorney and the Counsel appointed for the matter, requested for a hearing date in respect of the application in terms of Section 18 of the Superior Courts practise. The application is intended at having the interdict set aside and to allow the implementation of our projects for the benefit of the targeted communities.

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Publication:Mena Report
Date:Nov 24, 2015
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