Sita admits to breaking the rules - source

Published Jun 23, 2008

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The State Information Technology Agency (Sita) has admitted to MPs at a closed meeting that procedures were not followed in the awarding of multi-billion rand tenders to four IT companies to modernise the home affairs identification system.

A source familiar with the discussions at the meeting that took place last week between Sita executives and the National Assembly's portfolio committee on home affairs revealed at the weekend that proper regulations were not followed in giving Gijima AST, New Dawn, Valor IT and Ideco Group R1,9-billion tenders.

The costs of the project have now escalated and are believed to be around R2,4-billion.

Two weeks ago, Sita CEO Llewellyn Jones told the multi-party committee that the two committees that adjudicate the awarding of tenders had not been properly constituted in line with the regulations.

Home Affairs Director-General Mavuso Msimang said there was nothing untoward in the awarding of the tenders. He said everything was done by the book in the procurement process.

The source said Sita executives had reiterated Jones's viewpoint at the meeting that no representatives from Treasury and Public Service and Administration were part of the adjudication process. He further questioned the escalation of costs when the project had not even taken off the ground.

Msimang said Home Affairs Minister Nosiviwe Mapisa-Nqakula was correct in referring the matter to Auditor-General Terrence Nombembe to investigate. MPs have referred the matter to National Assembly Speaker Baleka Mbete to investigate.

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