Black economic empowerment consortium Swifambo Rail Leasing says Transnet and the Passenger Rail Agency of SA (Prasa) are the only companies doing business with it.
Prasa has taken action against Swifambo and wants a R5-billion contract to supply it with locomotives set aside.
Swifambo spokeswoman Alicia Mngadi said the company had “every intention” of concluding its deal with Prasa.
“There is only Transnet and Prasa that we can work with… we were set up for the sole purpose of improving the rail system‚” she said.
In Prasa’s 2013-14 financial results‚ the auditor-general found that the evaluation criteria used to award the contract to Swifambo were not consistent with its request for proposals.
The auditor-general found that Swifambo’s technical
capabilities were based on those of Vossloh Espaa‚ but there was insufficient evidence of a sub-contracting relationship at the time the company was evaluated for the contract.
Swifambo should have been disqualified from the tender process for not submitting “the letters of good standing with the relevant tax authority in its country of origin” as required‚ the auditor-general said.
It also failed to provide “tender documents …signed by both the winning bidder and the subcontractor as required by the request for proposal”.
Mngadi said Swifambo had supplied all the required documents to Prasa.
Prasa paid Swifambo a deposit of R468-million four months before the company paid a performance bond of R307-million. Prasa’s procurement policies
required that the “performance security be provided prior to concluding the contract”‚ the auditor-general said.
Prasa is also claiming R20-million in remuneration‚ bonuses and travel expenses paid to Daniel Mtimkulu‚ who lied about his engineering qualifications.
Prasa spokesman Victor Dlamini would not be drawn on whether the agency would take similar action against former chief executive Lucky Montana.
“We are acting against Daniel Mtimkulu and Swifambo Rail Leasing …we are dealing with the agreement that was entered into irregularly. Our focus is to have it set aside‚” he said.
Earlier this year‚ reports emerged that the locomotives were too tall and would damage the rail network’s overhead lines.
R5bn Prasa train deal goes off track
Prasa has taken action against Swifambo and wants a R5-billion contract to supply it with locomotives set aside.
Swifambo spokeswoman Alicia Mngadi said the company had “every intention” of concluding its deal with Prasa.
“There is only Transnet and Prasa that we can work with… we were set up for the sole purpose of improving the rail system‚” she said.
In Prasa’s 2013-14 financial results‚ the auditor-general found that the evaluation criteria used to award the contract to Swifambo were not consistent with its request for proposals.
The auditor-general found that Swifambo’s technical
capabilities were based on those of Vossloh Espaa‚ but there was insufficient evidence of a sub-contracting relationship at the time the company was evaluated for the contract.
Swifambo should have been disqualified from the tender process for not submitting “the letters of good standing with the relevant tax authority in its country of origin” as required‚ the auditor-general said.
It also failed to provide “tender documents …signed by both the winning bidder and the subcontractor as required by the request for proposal”.
Mngadi said Swifambo had supplied all the required documents to Prasa.
Prasa paid Swifambo a deposit of R468-million four months before the company paid a performance bond of R307-million. Prasa’s procurement policies
required that the “performance security be provided prior to concluding the contract”‚ the auditor-general said.
Prasa is also claiming R20-million in remuneration‚ bonuses and travel expenses paid to Daniel Mtimkulu‚ who lied about his engineering qualifications.
Prasa spokesman Victor Dlamini would not be drawn on whether the agency would take similar action against former chief executive Lucky Montana.
“We are acting against Daniel Mtimkulu and Swifambo Rail Leasing …we are dealing with the agreement that was entered into irregularly. Our focus is to have it set aside‚” he said.
Earlier this year‚ reports emerged that the locomotives were too tall and would damage the rail network’s overhead lines.
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