JOHANNESBURG – State-owned freight and rail company, Transnet said on Tuesday that its contractor, CMI Emtateni Joint Venture, had terminated its R4.2 billion contract for a megaproject to create deeper berths at the Durban Container Terminal (DCT).
This comes after Transnet in November last year stopped all the works in the project and launched a probe into the contract after receiving an unsolicited report from private investigator Paul O'Sullivan's Forensics for Justice, with allegations of procurement irregularities on the project.
Allegations in O'Sullivan and Sarah-Jane Trent's report centred around issues of fraud, BEE fronting and collusion between the Transnet employees and suppliers.
In September last year, Transnet awarded the main marine package of the R7 billion DCT Berth Deepening project to CMI Emtateni Joint Venture to create deeper berths at the DCT's North Quay.
CMI Emtateni Joint Venture comprises of an Italian construction company, CMC di Ravenna and CMI Infrastructures, with former Greytown mayor Philani Mavundla's CMI Infrastructures as a BEE partner.