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On Monday, Mosebenzi Zwane continued to testify at the state capture commission, where he spoke about how disqualified contractors received contracts as part of a R1 billion housing project.
FILE: Mosebenzi Zwane outside the state capture commission on July 19, 2019. Photo: Abigail Javier / EWN
JOHANNESBURG – Former Free State Human Settlements MEC Mosebenzi Zwane has denied that he and the provincial executive deliberately chose the builders for a R1 billion housing project and that they knowingly violated the acquisition processes.
On Monday, Zwane continued his evidence at the state seizure commission, where he discussed how contracts were awarded to disqualified contractors.
The commission told Zwane that it knew that some of the bidders on a list it presented to the provincial executive were disqualified.
And attorney Paul Pretorius told him that he knew there was another open bidding process, but he didn’t want it.
“It seems to me that the only explanation is that the MEC, along with exco, had their own plan on who would build the houses and on what basis the people would be selected and that had no relation to the open bidding process,” Pretorius said.
Zwane replied, “That is not my understanding.”
The commission wants the report Zwane wrote to the exco to reach its decision, but said it required a subpoena.
And the commission said it had also failed to obtain that report.
MINOR CONTRACTS CANCELED
Zwane also testified that the Free State Province decided to cancel the contracts of vendors who refused to build larger houses at the same price as the smaller houses, for which they had won bids.
He said the 23 contractors were sidelined for filing disputes against the Department of Human Settlements.
For the rand 1 billion housing project, advance payments were made to suppliers without established procurement processes.
Earlier, Zwane said he wanted an open bidding process, but denied knowing that there was already a legitimate open process underway.
He said he believed that the open bidding process he wanted was the way to build a database of qualified contractors.
And he denied that he and the provincial executive wanted to select the builders they wanted.
But it confirmed that 23 builders were included, but construction of larger houses for the same disputed price was excluded.
“When we report that these contractors have filed a dispute, (exco said) that they have filed a dispute, cancel their contracts, make sure then we have contractors willing to continue at the same price of R50,000.”
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