Question NW1211 to the Minister of Agriculture, Forestry and Fisheries
16 August 2018 - NW1211
Matsepe, Mr CD to ask the Minister of Agriculture, Forestry and Fisheries
(1) With reference to certain companies (names furnished), (a) what (i) tenders were the firms appointed for, (ii) was the total value of the contracts, (iii) total amount was paid out to each firm and (iv) were the outcomes of work carried out as per the tender, (b) who were the person(s) responsible for the appointment of the firms and (c) what supply chain processes were followed in the appointment of the firms; (2) has there been any recommendations by the Auditor-General to investigate the said firms; if so, what steps has been taken in this regard?
Reply:
|
1. |
Willjaro |
SA Fence and Gate |
Notes |
|
(i) Tenders firms appointed for |
R 1 million (approx) (per year for 3 years) |
R 50.6 million (approx) |
Neither firms were appointed/concluded through bid processes |
|
(ii) Total value of contracts |
R 1 million (approx) (per year for 3 years) |
R 50.6 million (approx) |
|
|
(iii) Total amount paid out to |
No funds have been paid out to either of the firms to date pending finalisation of investigation |
||
|
(iv) Outcomes of work carried out |
Some processing of abalone had commenced though had not been concluded |
Some work had commenced though had not been concluded |
Both firms stopped work when dispute started |
|
b) Person’s responsible for appointment |
DAFF CFO |
DAFF CFO |
Mr Jacob Hlatshwayo was acting MLRF CFO at those times. The Director of Supply Chain Management (acting), Ms Abigail Booth was responsible for the process of sourcing and finalising firms that complied with our requirements. |
|
c) Supply Chain processes followed |
Deviation through 3 quote system |
Deviation through Treasury |
|
|
2. Recommendation for Auditor General |
No recommendations |
The matter was raised as a finding in the management report as issued by the Auditor General to the Department. The matter had been escalated and is still under investigation. |
- Wiljaro was a deviation through 3 quote system
- Wiljaro Purchase order was for the value of approximately R4.5m
- No funds have been paid out to either of the firms to date pending finalisation of investigation
- The work had commenced however has not been concluded given the litigation which followed
- Per documents, it would appear to be the DAFF CFO
- Reply is in the above column
- Wiljaro was a deviation through 3 quote system
- We had informed the auditors of the potential irregularity, hence, we had already commenced and reported on both cases of irregularity
- The matters are still under investigation and has been escalated to Ministry
(b) Gate and Fence:
- SA Gate and Fence was a deviation concluded with Treasury approval
- SA Gate and Fence Purchase order was for the value of approx. R58m
- No funds have been paid out to either of the firms to date pending finalisation of investigation
- The work had commenced however has not been concluded given the litigation which followed
- Per documents, it would appear to be the DAFF CFO
- Deviation concluded with Treasury approval
- The auditors were informed by the Department of the potential irregularity, hence, we had already commenced and reported on both cases of irregularity
- The matters are still under investigation and has been escalated to Ministry
It was the Department who brought this matter to the attention of Auditor General.
viii) The matters are still under investigation and has been escalated
2. 2) The matter was raised as a finding in the management report as issued by the Auditor General to the Department. The matter had been escalated and is still under investigation.