In the spirit of transparency, clean governance and accountability, I would like to inform our residents that the City has taken active measures to blacklist the companies and tenderpreneurs that were awarded the Phase 1 contract to upgrade Rooiwal Waste Water Treatment Works.
The joint venture CMS, NJR & Blackhead was appointed in October 2019 in respect of tender USD WS 30-2017/18 for the construction of Phase 1 upgrades and refurbishment of Rooiwal Waste Water Treatment Works at a cost of R291 996 799,07.
However, the joint venture failed to honour the contract and subjected the Rooiwal Phase 1 upgrades to long delays and continued non-performance, which resulted in the City terminating the contract in August 2022.
After my calls to the City Manager, the City has now resolved to blacklist the joint venture, together with its shareholders and directors, including the state capture accused, Edwin Sodi. The City intends to invoke the provisions of the Preferential Procurement Regulations as stated in Circular 43 of the National Treasury.
Effectively, this means that the joint venture CMS, NJR & Blackhead, as well as its shareholders and directors, will be listed by the National Treasury as restricted suppliers. This will result in these individuals being restricted from doing or obtaining any business with the state for a period of five years.
The Office of the City Manager has written to the affected parties and given them 14 days to respond to our intentions to blacklist them.
The joint venture has only completed 60% of the Rooiwal upgrades despite all the monies spent by the City for Phase 1. Furthermore, a forensic investigation has found that the tender had been awarded irregularly. In this regard, disciplinary steps are currently underway against several City officials who are implicated.
Our multiparty coalition government is determined to fight corruption and to keep our original promise to run a clean, effective and corruption-free administration.
The Rooiwal looters!
The five colleagues are Thembeka Mphefu, the divisional head of supply chain management; Frans Manganye, the divisional head of electricity planning and development; Stephens Notoane, the group head of utility services; Justice Sekokotla, the director of electricity department; and Dumisani Gubuza, the divisional head of water and sanitation.
What now?
We demand a lifestyle investigation on these offenders.
Freeze their bank accounts, withdraw their passports and recover the financial losses from their assets and pension funds.