Mpisane scores tender worth R455 million

By Drum Digital
29 April 2013

Durban businesswoman Shaun Mpisane was awarded tenders worth R455 million in terms of the of the city's controversial legislation that allows it to bypass the normal tender processes, the Mercury reported on Monday

According to the paper, a report tabled recently before the finance and procurement committee revealed Mpisane's company Zikhulise Cleaning, Maintenance, and Transport was awarded three section 36 contracts between July last year and March this year relating to an Umlazi housing project.

Ethekwini municipality treasure Krish Kumar said the contracts were as a result of an out-of-court settlement the city had with Zikhulise.

Mpisane took the city to court claiming that the project was stalled by city officials who questioned whether it should do business with a convicted person.

Mpisane has a 2005 conviction for VAT fraud.

The settlement allowed Mpisane to continue with the project, including new phases of construction.

Kumar said the city was entitled to award the contracts, as Zikhulise was the original contractor and a decision was taken that it was appropriate for the company to continue with the project.

In May Mpisane will stand trial for allegedly inflating invoices by more than R5m to cut her tax bill.

She also faces 53 charges of fraud, forgery, and uttering.

Mpisane is accused of submitting false documents to obtain Construction Industry Development Board gradings, which were then used to obtain public works department tenders worth R140m.

In another case she is charged with corruption for allegedly trying to persuade a state witness in one of her tax fraud cases to tamper with evidence.


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