120717. Cape Town. The City of Cape Town's Deputy Mayor, Alderman Ian Neilson, delivering the Provisional Financial Results for the City of Cape Town for the 2011/12 Financial Year. Picture Henk Kruger/Cape Argus

The City of Cape Town has over-hauled a multimillion rand security tender after cancelling several contracts when it was first awarded.

In March, the city revealed it had cancelled a R350 million security tender awarded to 22 companies in October.

The city was accused of fraud and corruption, but maintained that this did not a play a role in cancelling the tender.

The tender was for security at more than 1 000 city-owned assets.

Apart from buildings, this included security at electrical overhead lines and substations. Some of the duties included patrols and armed response.

After it was awarded, one of the unsuccessful bidders, Mgebe Security Services, raised concerns. The company told the Cape Argus it believed there were irregularities, claiming officials had failed to follow the correct procedures.

It further alleged that officials had incorrectly scored it on several issues.

Apart from its official appeal letter, the company also wrote a letter to the office of the mayor about the incident.

Mgebe Security Services was not the only firm that had problems with the deal - more than 23 appeals were lodged against the awarding of the tender. Many cited that the tender documents did not provide sufficient information.

Allegations of fraud and corruption were also levelled against the city.

The city’s forensic unit stepped in and investigated the accusations. However, no evidence of wrong-doing was found, although the tender was still cancelled because of the various technical issues raised during some of the appeals.

It was set to be re-advertised in May, but this has been delayed.

Ian Neilson, deputy mayor and mayoral committee member for finance, said the tender would be advertised by the beginning of next month at the latest.

At the moment, it is being extended on a monthly basis. There will be major changes when the new tender is advertised.

Neilson, pictured, said there were more details on how the tenders would be evaluated.

Bidders will also receive information including a full break-down of the scorecard, which will help determine who receives the tender.

There will be a briefing session for those involved, providing more information. The pricing in some parts of the tender has also been changed. - Cape Argus