Black publishers slam education department's R263m 'illegal contract'
The publishers and service providers, who own medium and small businesses, had previously serviced Section 21 schools. They alleged the new central procurement system tender awarded to one company in 2014 had expired in 2016, but the contract had been renewed for the past two years “illegally and uncompetitively”.
Complaints by the Learner Teacher Support Material (LTSM) Forum, comprised of representatives of the affected businesses, threatened legal action against the central procurement system and planned to challenge the legality of the tender. Should this matter end up in court, it would be the fourth procurement tender of the provincial department taken to court.
The department’s Nutrition Programme, the Scholar Transport Programme and the sanitary pads tender, worth millions, were some of the tenders suspected of irregularities, with some going to court.
Last week, the forum lodged a complaint with the provincial portfolio committee on education. The service providers asked the committee to escalate their matter to Basic Education Minister Angie Motshekga after their requests for a meeting with department officials were allegedly ignored.
Most schools had waited nearly a year for the department to give them funds for books and stationery.
Later in the year, the department, through a circular, advised schools that quotes which had exceeded 20% of the catalogue price including VAT, transport costs and other costs, would be migrated to the central procurement system using the service provider appointed by the department.
Service providers which supplied Section 21 schools with their stationery lost business when the department migrated their orders with private service providers to a company it had appointed.
“We are questioning why the department was so eager in doing business with a company that does not have a valid contract.
“The department is deliberately delaying payment of Section 21 school funds to take away business from us. The intention is to create a new monopoly in the Learner Teacher Support Material (LTSM) business,” said Mandla Shangase, the interim LTSM Forum chairperson.
According to the South African Schools Act, Section 21 schools which chose to order through private service providers had a right to do so.
This time, schools were told not to confirm their orders before they received a written confirmation from the department that the funds had been transferred.
A multidisciplinary task team appointed by Motshekga is currently investigating allegations of misappropriation of funds levelled by the National Teachers’ Union against the provincial department.
Department spokesperson Kwazi Mthethwa said any contractual obligations that the department may have with service providers remained confidential.
He said the department would never be involved in unlawful activities because they believed in good governance and transparency.