ANC late paying party contractors

2012-03-23 10:08

Johannesburg - The ANC continues to be embroiled in spats over millions of rands in unpaid bills to contractors, according to a report on Friday.

VWV Interactive - the company involved in staging a production for the African National Congress centenary celebrations earlier this year - was still owed millions, the Mail & Guardian reported.

VWV said subsequent to payment not being received in full, some of the people and companies it had hired had only been paid 50% of the money owed to them.

However, the ANC has disagreed, saying the money - R6.2m - is under dispute as the live performance in Bloemfontein was rained out.

"We didn't cause the rain. You could say the rain washed away the payment," said ANC treasurer general Mathews Phosa.

VWV's chief executive Wanda Shuenyane disagreed.

"We have not been informed of any dispute based on force majeure [irresistible force, a legal clause in supply contracts].

"It is public knowledge that the show screened on television [twice]... because [the main show] was entirely rained out. But we have not been informed of any dispute based on that."

Shuenyane also said the amount owed was closer to R10m.

The ANC is also embroiled indirectly in other legal spats, as other subcontractors take primary ANC-hired contractors to court to recoup losses.

- SAPA