Clear signs of overpricing, unfair processes, potential fraud in PPE tenders - AG report reveals

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President Cyril Ramaphosa receiving on behalf of government a R1 billion consignment of critical personal protective equipment (PPE) and other medical supplies.
President Cyril Ramaphosa receiving on behalf of government a R1 billion consignment of critical personal protective equipment (PPE) and other medical supplies.
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The story: On the request of president Cyril Ramaphosa, Kimi Makwetu’s office has undertook a real-time audit of 16 of the key Covid-19 initiatives introduced by the government and themanagement of R147,4 billion of the funds made available for these initiatives. 

Scope: The report represents the first in a series of reports that will deal with the financialmanagement of the government’s Covid-19 initiatives, covering R68,9 billion (47%) of theR147,4 billion spending. The audit work per this report is for all expenditure up to andincluding 31 July 2020.  

Findings: "Based on what was audited to date, there are clear signs of overpricing, unfair processes, potential fraud and supply chain management legislation being sidestepped, said Makwetu.

The damage: Makwetu said of the budgeted R22.4 billion, only R6.7 billion was actual expenditure. 

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