Creecy wants driving licence tender declared irregular
Transport Minister Barbara Creecy has instructed her department to lodge a high court application to declare the Driving License Card Machine tender irregular.
The Auditor-General has already made a finding to this effect.
The AG said the contract did not follow the required procurement processes or comply with the policies of the Public Finance Management Act and Driving Licence Card Account.
The preferred bidder, French technology firm IDEMIA’s South Africa, was appointed in August.
The Organisation Undoing Tax Abuse CEO, Wanye Duvenage, says the organisation would like to see those on the bid evaluation committee and bid adjudication face the music.
"It was so clear and obvious to us that this tender was manipulated and we just cannot allow people to conduct themselves in this nonchalant way, costing you and I, the taxpayer, millions of rands in irregularities of this nature.
"We would like to see accountability and there's a lot more work to do in many of the departments in the Department of Transport where we believe there's a lot more irregularities that are taking place."
In September, OUTA called on Creecy to suspend the department’s contract with IDEMIA.
"The Department is in no position to turn a blind eye on the findings of the AGSA that points to irregularities in the tender process and the transgressions of the PFMA", the Transport Department said in a statement.
"In terms of section 81 (1) of the PFMA, an accounting officer for a department or a constitutional institution commits an act of financial misconduct if that accounting officer willfully or negligently, (b) makes or permits an unauthorized expenditure, an irregular expenditure, or a fruitless and wasteful expenditure."
Meanwhile, the company behind the contract, IDEMIA Smart Identity which trades as IDEMIA South Africa, says it believes some of the AG's findings pertain to matters beyond their scope, and that those directly concerning them are not a true reflection of their operations.
“IDEMIA Smart Identity, which operates under the IDEMIA South Africa entity, legitimately won this tender, as we firmly believe we are the best in this field. We take very seriously the results of the audit carried out by the Auditor General of South Africa. While some of the findings pertain to matters beyond our scope, others directly concerning IDEMIA Smart Identity do not reflect the reality of our operations.
"We are actively working to clarify these points and ensure a full understanding of the situation. We remain open to constructive dialogue with all stakeholders to address any concerns in a transparent and solution-oriented manner," IDEMIA said in an email.
The company says it will continue to assess all appropriate avenues, including our legal options, to ensure a fair and objective resolution of the issues raised in the audit.
This article has been updated to include the response from IDEMIA Smart Identity.
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