PRASA

Today at the North Gauteng High Court in Pretoria the contract for locomotives that was awarded to Swifambo Rail Agency was set aside.
The following were some of the reasons stated by the Judge to set aside the contract:

1.“Swifambo should have been automatically disqualified and should not have been allowed to take part in the bid and awarded the tender” because it did no have a valid tax clearance
certificate.

2. There was an “uncanny consistency between the irrelevant specifications (in the tender) and the locomotives supplied by Voslooh” and that this “caused some members of the (Bid
Evaluation Committee) to suspect that the tender had been rigged”. “The inference is therefore irresistible that the specifications were tailored to benefit Swifambo” .

3. “The methodology used in the scoring process was irrational and unreasonable”.

4. PRASA had failed to obtain approvals required under the PFMA prior to awarding the contract”.

5. “. the diesel -electronic locomotives that were required exceeded the maximum height specified”.

6. The terms of the contract violated principles of procurement as required under our constitution in that they were negotiated after the award of the tender, did not conform to the criteria laid down in the tender documentation and were materially different from the ones provided in the call for tenders.

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