Damning report on procurement
PUBLIC protector Thuli Madonsela yesterday released a damning report on flawed procurement processes at the SA Post Office (Sapo)‚ dating back to 2010.
The Sapo board of directors has been directed to recover R22-million for rental payments‚ after Madonsela found that the acquisition of a 10-year lease for a building in Centurion to house Sapo headquarters was “tainted by procurement irregularities and corruption”.
She released her report on an investigation of a 2010 contract worth about R161-million entered into by the embattled post office.
The Communication Workers’ Union lodged the complaint in 2011‚ alleging there was maladministration by the post office in the leasing of the Eco Point Office Park in Centurion.
The union also alleged that there had been maladministration in the procurement of catering services‚ the procurement and use of labour brokers and a corrupt relationship between service providers and certain employees.
According to Madonsela’s findings‚ the lease process was flawed from the outset.
The post office incurred fruitless and wasteful expenditure through renting parts of the office park amounting to R2.37-million a month for a 10-month period‚ Madonsela found.
She said that the allegation around the irregular procurement of a catering company was also substantiated‚ but the allegations around the irregular use of labour brokers were unsubstantiated.
