EduSolutions court bid fails
A COURT application by EduSolutions to force the department of basic education to reinstate its contract has failed.
Pretoria High Court Judge Hans Fabricious dismissed the application with costs, agreeing with the department's argument that the contract was awarded irregularly.
EduSolutions director Moosa Daniel Ntimba had asked the court to order the department to enforce and implement a 2010 service level agreement signed between the two parties with immediate effect.
The company also wanted the court to restrain the department of education from procuring learning and teaching study materials from any company until his contract with the department had expired on September 30 2013.
Ntimba insisted his appointment was not dubious as his bid was submitted in a competitive tender process and won fairly.
The tender was advertised by the department in the Sowetan of May 13 2010.
But in his argument, the department's administrator, Mzwandile Matthews, revealed that after EduSolutions's appointment, it was paid an advance of R19-million based on an 8% management fee of the anticipated orders to be placed in the amount of more than R346m.
The department approved the payment on December 7 2010 in terms of a certificate by an employee, one ME Nkoana, and the payment advice was issued on the same day.
Matthews said while the benefit of an open tender was to get the product cheaply and effectively, it was not the case with EduSolutions.
"In this case the applicant (EduSolutions) has appropriated that benefit for itself and has deprived the department of that benefit
"It is clearly in breach of provisions of the Constitution, the PPPFA (Preferential Procurement Policy Framework Act) and PFMA (Public Finance Management Act)." Public Finance Management Act.
Matthews said the contract was also in breach of the provisions of regulations of the treasury.
The company's three-year contract was terminated last year when the provincial education department was placed under administration.