Arms dealer’s claims on losing tender

Richard Young, who lost out as bidder in the Arms Deal, said an evaluation at the time proved his company’s Information Management System (IMS) was better than the one selected for the navy’s new frigates.

Young’s company C²I² Systems was one of the subcontractors set to supply parts of the combat suite that was to be fitted to the four frigates that were acquired for the South African Navy in 1999.

However, his company was muscled out of the bid when French company Thomson CSF’s African Defence Systems replaced IMS with its own naval combat system Detexis.

Young told the Arms Procurement Commission in Pretoria yesterday about the June 1999 technical assessment of the merits of the systems, undertaken on the instructions of the South African Navy and the state arms procurement company Armscor. “I never knew about the testing until a year later. We were not informed of the assessment nor invited to send representatives to be present,” he said.

Young said the evaluation team identified 16 areas of concern in relation to the Detexis system and six in relation to the IMS and concluded that the IMS should be retained.

The evaluation team concluded that the IMS was a superior product to the Detexis system, he said. “Even if I say so myself, it is certainly a better product.”

Young said the Detexis system did not comply with the required specifications listed by the navy. Despite this evaluation, navy and Armscor officials decided that IMS should be replaced with the Detexis system, he said.

Young said that his company received correspondence from Armscor in August last year saying the Detexis system was not being considered for the naval hydrographic survey vessel to be acquired soon.

Armscor said the system could be regarded as obsolete and not cost-effective, he said.

“It is difficult to envisage a more damning indictment of the Detexis Diacerto Databus than this by the very parties that were responsible for its acquisition.”

The Arms Procurement Commission was appointed in 2011 to probe allegations of fraud or irregularity in the strategic defence procurement package – the Arms Deal.

The South African National Defence Force acquired a number of armaments including frigates, submarines and — mabuzae@timesmedia.co.za

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