Mkhwebane finds Free State housing guilty of ‘improper conduct’


Mkhwebane finds Free State housing guilty of ‘improper conduct’

Public Protector, Adv Busisiwe Mkhwebane throughout a press briefing on the Public Protectors House, 12 December 2019, Pretoria. Picture: Jacques Nelles

Mkhwebane has advisable that the conduct of the accounting officer is probed and that the matter be reported to the SAPS and the Hawks

The Free State Department of Human Settlements has been discovered guilty of failing to comply with correct procurement procedures within the awarding of a controversial asbestos housing contract.

The contract was awarded to the Gauteng-based Blackhead Consulting and Diamond Hill Trading joint-venture.

Public Protector Busisiwe Mkhwebane in her report says the provincial division participated in an expired contract of the Gauteng Human Settlements Department, and did not conduct a due diligence investigation earlier than taking part on this contract.

Mkhwebane says the province was in possession of the Gauteng Department’s Service Legal Agreement, which had expired, and went forward to pay the service supplier an quantity of R139 million. This, regardless of the Auditor-General having declared the procurement as irregular as early as 31 July, 2015.

The contract for service suppliers to determine and take away asbestos roofs within the province has because the 2014/15 monetary 12 months drawn a lot controversy, with tens of millions paid by the division remaining unaccounted for.

In her current investigative report, Mkhwebane says: “The Department created the impression that they participated in a contract concluded by one other state establishment [Gauteng Department] whereas the companies weren’t the identical as specified within the current contract and in addition the value was greater.”

Mkhwebane says that is in contravention of Treasury rules and quantities to improper conduct.

She additional highlighted that the division didn’t obtain worth for cash.

She says their findings additionally point out that the service supplier had subcontracted the contract to ORI Group at a payment of simply over R21 million, whereas the service supplier was paid R230 million.

Among her different remedial actions, Mkhwebane has advisable that Free State Premier Sisi Ntombela takes the suitable steps to make sure that the conduct of the accounting officer is investigated and that the matter be reported to the South African Police Service and the Directorate for Priority Crime Investigations.

OFM News has in the meantime reported that the DA within the provincial legislature – who had been the official complainant on this case – are set to transient the media concerning the matter on Tuesday.

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live at 2020-05-19 09:34:12



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