Special Tribunal ordered Rensh to pay over R25 million awarded unlawfully
A Special Tribunal set aside an unlawful wastewater treatment contract awarded to Rensh Close Corporation, by the Ditsobotla Local Municipality in the North West.
The contract is worth R25,884,435.75.
The Special Investigating Unit (SIU) said it found the contract was awarded after a single telephone call from the municipal technical director.
The Tribunal ordered Rensh Close Corporation, owned by Rashida Cader, to repay all monies due to the municipality, including profits from the contract.
The SIU said it welcomes the Special Tribunal’s judgment based on its findings.
The SIU also said it found that the municipality had already advertised the tender and received about 17 bids before the National State of Disaster, but the procurement process favoured appointing Rensh.
One of the bidders who was interviewed said he submitted a BOQ and attended site inspections for emergency refurbishment of four pump stations in December 2019, but never received any feedback.
Moreover, no valid written contract or appointment letter could be produced for Rensh’s appointment.
The SIU said Rensh was contracted to supply four 100kVA diesel generators to assist in maintaining the wastewater treatment plants at R250,000 each.
Instead, 137 kVA generators were delivered and invoiced at R550,000 each.
Picture: Supplied