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Controversial Glad Africa gets 12 Gauteng contracts

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Controversial Glad Africa gets 12 Gauteng contracts

Image of Gauteng Premier David Makhura
Gauteng Premier David Makhura

22nd June 2022

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The controversial Glad Africa company has scored 12 contracts with the Gauteng provincial government in the past five years despite the controversy over its R12 billion contract with the Tshwane metro council which was cancelled after irregularities were detected.

This is revealed in a written reply to my questions to Acting Gauteng Infrastructure Development MEC Jacob Mamabolo.

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According to Mamabolo, Glad Africa’s latest contract is at the Charlotte Maxeke Johannesburg Hospital (CMJH) for professional mechanical and fire engineering and environmental consultant services.

Other contracts include consultant services for five schools and six health facilities

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In May this year, after much delay, the Tshwane council adopted a forensic report into the R12 billion project management contract irregularly awarded to Glad Africa in 2017. About R500 million was paid to the company before the contract was terminated.

Already in 2019 the Auditor General had flagged the contract as irregular, but the ANC and EFF stalled on taking action to cancel it.

Glad Africa got the CMJH contract as a Preferred Service Provider Panel appointment, rather than an open tender process, and R9.5 million has been approved for payment to them.

It is suspicious that Glad Africa gets so many lucrative contracts, but Mamabolo says that the department has not conducted any investigation on this company.

Premier David Makhura boasts about the open tender system to prevent corruption, but the panel appointment system sidesteps this as it is not clear why one company is chosen over others.

Irregular spending wastes money that should be spent on public services.

This case highlights the need to ensure strict compliance with the law which mandates fairness, transparency, competitiveness and cost-effectiveness in the award of contracts.

 

Issued by Jack Bloom MPL - DA Gauteng Shadow MEC for Health

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