The Special Tribunal has set aside a R85 million tender awarded to ISF Shula Joint Venture for a border wall along the KwaZulu-Natal-Mozambique border. The Special Investigating Unit (SIU) welcomed the ruling, citing fraudulent documents and an incomplete project. The company must repay all profits derived from the contract.
The Special Tribunal ruled to set aside the R85 million tender given to ISF Shula Joint Venture for constructing a wall on the KwaZulu-Natal-Mozambique border. This project aimed to curb heightened crime, including the smuggling of stolen and hijacked vehicles into Mozambique.
The SIU investigation revealed that the joint venture submitted fraudulent documents, failed to meet mandatory requirements, and abandoned the project despite receiving the full R85 million payment. SIU spokesperson Selby Makgotho highlighted irregularities such as a fraudulent compliance certificate and a non-compliant letter of spending from the regulator’s Provision Bureau.
"On the grounds of review, when we made the application, amongst others, we found that there were quite a number of irregularities... the money that were paid were not supposed to be paid," Makgotho said. The tribunal's order requires actions within 30 days, including disciplinary measures as part of consequence management.
The company has been directed to repay all profits gained from the contract.