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AG STOPS E12 MILLION SLOMOES TENDER, PENDING PROBE

24/03/2023 11:10:00 Themba Zwane

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PIGG’S PEAK – The Auditor General (AG), Timothy Matsebula, has stopped the E12 million tender awarded to Slomoes Corporation for the local government elections, pending an investigation into the matter.

Through a letter dated March 20, 2023, directed to Ministry of Housing and Urban Development’s Principal Secretary (PS) Clifford Mamba, the AG states that the decision has been made in accordance with Section 207(8) of the Constitution. Matsebula also states in his letter that the reason the office of the AG took this decision was that he had received a complaint that PS Mamba’s ministry was in the process of engaging Slomoes Corporation (PTY) Ltd to procure a Technological Solution for Local Government Elections, using a single source procurement method.

The AG further highlights in the letter that he also noted that public funds amounting to E8 million were transferred from Head 60 to the Ministry of Housing and Urban Development’s account 242410110061 and it was later transferred by the ministry to Matsapha Town Board. When funds are kept under Head 60, it means they have been kept at the Treasury Department (under the Ministry of Finance) and will be utilised once Parliament approves or gives that directive for the funds to be used for a particular purpose.

“I need an explanation for the purpose for which these public funds were kept in Head 60, and why they were transferred to Matsapha Town Board. I write to notify you that I disallow the expenditure for the procurement of the Technological Solution for the local government elections, pending an investigation into the matter,” reads the letter in part. Matsebula also states that although this deviation had been approved by the Eswatini Public Procurement Regulatory Agency (ESPPRA) , it had come to light that a similar elections management system could be developed by the Royal Science and Technology Park (RSTP).
“Therefore, a single source procurement method is not justified. In your letter to the Chief Executive officer (CEO), referenced Dug 3/20 dated July 15, 2022, your ministry made a request for assistance in procuring a Technological Solution for the local government elections and the request was accepted by the CEO of the Royal Science and Technology Park, in their letter to your ministry dated September 19, 2022. “However, despite this written agreement between your ministry and the Royal Science and Technology Park, your ministry has neither involved nor consulted the Royal Science and Technology Park, in the tender processes and no feedback has been communicated to them,” stated the AG in the letter.

Directive

Matsebula, through the letter, advised the PS to also note that Cabinet Circular Memo reference CPM 3/1/1/1, dated June 21, 2022, entitled, ‘Information Communications and Technology Solutions’ states that ‘all ICT related solutions shall be implemented through the Royal Science and Technology Park henceforth’. “This is a Cabinet directive and your ministry was expected to fully comply with it. I hope this provides a reasonable explanation why this expenditure is disallowed,” reads the letter.

The AG was reached for comment and he confirmed having written the letter directed to the Ministry of Housing and Urban Development PS, disallowing the expenditure for the procurement of the technological solution for the local government election, pending an investigation into the matter. “Yes, I know of the letter but I wonder how it has been leaked to you as this is an internal matter under investigation and this might compromise evidence,” said the AG.

Board

Matsapha Town Board Chief Executive Officer (CEO) Lucky Sukati said he had not yet seen the letter, despite it being copied to him. “I will check with my secretary but nothing to that effect has reached me yet,” he said. On the other hand, RSTP CEO Vumile Dlamini said he had not yet received the correspondence, but expected to get it today. “I think I will get the correspondence tomorrow (today). I have been busy the whole day today (yesterday),” said the CEO.

Information, Communication and Technology (ICT) Ministry PS Phesheya Dube, who is among those the AG copied the letter to, shared similar sentiments. “I have not yet received the correspondence my brother, I think I will get it tomorrow (today) at work,” said Dube. PS Mamba in the Ministry of Housing and Urban Development could not be reached for comment as his mobile phone rang unanswered when called several times yesterday.

A WhatsApp message had also been sent to him but he had not responded to it at the time of going to print. The PS had been asked if he had received the letter. Slomoes Corporation Director Lucky Dlamini requested not to respond on the matter. “Please contact the Ministry of Housing and Urban Development on issues related to elections,” he said.

Meanwhile, our sister publication, the Times Sunday, had reported that the minister had a tough time explaining the E12 million tender awarded to Slomoes Corporation for the local government elections. The tender award attracted the wrath of Members of Parliament (MPs), who took the minister to task, demanding answers on how the tender was awarded and why it was given to the most expensive bidder. The company was awarded the tender ahead of the RSTP, which had offered to do the exercise for E800 000. Another company which the minister identified as Wits Tech also made a bid for the tender, with a cost of E1.2 million.