The Madlanga Commission investigation reveals how public procurement systems can be manipulated through tender manipulation, where companies that should not have passed initial adjudication phases are allowed to proceed and win contracts worth millions of rands, with officials failing to follow lawful instructions to stop abusive processes, resulting in significant financial losses to public entities.
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Madlanga Commission | Tshukudu Malatji returns to continue testimonyAdded:
suspended director for asset protection at the Tuan Metro Police Department, Takudo Malachi, returned to the stand at the Mlanga Commission this morning. The commission continues with evidence from the city of Tuane where various top officials have been implicated in alleged tender manipulation. SBC news anchor Sakina Kamuendo and Kim Mapanga are in Ptoria for the latest update.
Sakina, let me hand it to you.
>> Well, thanks Leanne. Welcome back on day 99 of the Madlanga Commission and Kenny just getting straight into it Tukuru Malachi and you know in terms of what we've heard already uh and this is all to do with those tenders for uh guard services that uh were actually uh given to companies who initially should not even have gotten past the initial uh phases of uh the adjudication process.
But these companies make it all the way and they earn in the final analysis millions of rands and processes that were irregular are somehow regularized in order to benefit them.
Indeed, I think when Malachi last appeared before the commission, I think it was established that he failed to follow an a lawful instruction, let's put it that way, to end the unlawful services or ad hoc services that were clearly being abused within the city of it. It see that he didn't follow the instruction and the only question that was left in the air is whether he did so deliberately or whether this was just pure negligence. We have now heard from Liberang Perry who would have been the subordinate or the junior official that was fingered for allegedly acting out of his own will and continuing to allocate these uh number of sites to Gubies 85 solutions already there's an issue there with his evidence because although he says that he was acting solely on the instruction of his superiors which includes uh Malachi there is an interesting element where he receives payments u from persons who uh in some way are associated with Gubies 85 solutions. Even someone being an employee of a GI 85 solutions, one even being the director of a company that receives payments from uh Gooby's 85 solutions. So it seems that GBY's 85 solutions would send the payments to one party and somehow it would end up with him. And you're seeing on a number of occasions in this bank statements, he's dealing with large amounts of money uh being paid into his account. Although he says one is for his vehicle, other times he says it's for loans. It all must be placed into context uh with respect to the commission trying to understand why this particular entity seemed to get a disproportionate allocation of sites. So now after hearing Lamini's evidence, we're now seeing the taxi industry uh find meaning in this whole alleged tender manipulation ring because it seems that the person that was allegedly benefiting from GI's 85 solutions getting the city of Don contract seems to be the nephew um of Josie Boni, the taxi boss, which would explain the WhatsApp exchanges between Gareth and Nissi and Sergeant Gossi. When Gorsi says that he has to meet with number one, number one that being of JS who Gareth Nissi confirms and his evidence is Josean even though Gorsi denied it and said it was uh Janes be uh it's quite clear and then a message follows from Gareth Nissi where he says should we be worried >> and there's two context for that message because we see Gubies 85 solutions wasn't even on the list of the original preferred biders but somehow makes it onto the list of the final preferred biders and is awarded along with Hungapes and Alshadai companies that also seem to have links with persons involved in this alleged ring. And now we're getting further context with Liberang Piri receiving those alleged uh payments. And then of course we'll find out what Malachi's role was in all of this because the question still hangs in the air whether he acted deliberately or negligently. So perhaps they could be going through further information that could help them understand what his possible alleged motive could have been and ignoring that instruction by Revo Spe who said here is this company we are flagging this abusive process. Please stop these uh services immediately and that doesn't take place. They're actually able to bleed the city dry of 14 million per month after the termination letter. So we're going to understand why when that evidence starts at 9:30 a.m.
>> Yeah. And uh that of course speaks to the earlier um part that I was explaining about those seven invoices that were paid after the fact without a purchase order. The purchase order being created after uh uh the invoices are already submitted. Uh but of course it all gets regularized somehow and ultimately it gets paid. And for Goobies 85, it goes from invoicing over 300,000 per month to invoicing millions. So, we're going to leave it there for now and later on we'll get into even further detail. Back to you, Leanne.
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