Incomplete work cost State millions, writes Sibongile Mashaba

THE majority of companies barred from doing business with the government were blacklisted by the Limpopo provincial government for failing to deliver services.

The services they were contracted to provide include building RDP houses and delivering food parcels to poor people.

Of the 125 companies and their blacklisted directors, at least 80 were restricted by Limpopo.

Of these 42 suppliers and their directors were listed by the Limpopo department of local government and housing.

The Limpopo department of agriculture listed 21 companies and people as "restricted".

Premier Cassel Mathale's office restricted 17 suppliers and people. This means they cannot apply for tenders with state entities.

Limpopo provincial spokesman Tebatso Mabitsela said: "The whole point of this is not to name and shame but to ensure that suppliers are efficient in addressing service delivery."

He declined to give further details about these companies or their directors.

Limpopo local government and housing department spokeswoman Dieketseng Diale said the companies were restricted in 2010.

"These suppliers-contractors were awarded projects between 1999 and 2007 to build low-cost houses across the province.

"However, they failed to complete their projects as was contemplated in their contracts and their contracts were ultimately terminated," Diale said.

She said the department subsequently restricted them and submitted their names to the National Treasury database of restricted suppliers or persons.

Diale said these contractors were paid the amounts that were due to them only to the extent of the work done that was certified as such.

"There are two contractors, Bakgalaka Building & Civil Constructions and The Ventures, who were paid for 'work' that was not done in the 2005-06 financial year," she said.

"This was as a result of falsified\fraudulent claims that were certified by project managers. The two project managers have since been dismissed.

"An amount of R136,566 has been recovered thus far from Bakgalaka."

Diale said the department had further rectified about 500 houses that were abandoned by blacklisted contractors.

Limpopo department of agriculture spokesman Kenny Mathivha said the contractors were paid as per work successfully delivered and not the whole contract amount.

"In some instances new contractors were appointed to complete outstanding work," Mathivha said.

Kgabo Derrick Rammutla and his enterprise, Mokganyamele Trading and Projects, have been restricted for two years after failing to deliver food parcels at the department's World Food Day event.

The event aimed to heighten public awareness of the worldwide war of fighting global food shortages, hunger, malnutrition and poverty several years ago.

The company has since been deregistered.

"Payment was not done because no delivery was done," Mathivha said.

"The contractor was contracted to deliver food parcels for an event for World Food Day and has therefore failed to perform in terms of the contract."

• This article and the related stories were first published in the Sowetan newspaper yesterday, 16 February 2012