Local News
FS Road contracts might be investigated─── CATHY DLODLO 16:36 Mon, 15 Oct 2018
An investigation into the awarding of multi-million rand contracts by the Free State Transport Department to a company listed in a memorandum to the Zondo Commission of Inquiry into State Capture, could reduce irregular spending in the province.
The Auditor-General’s (AG) latest report on provincial and national department on the 2017/2018 financial year found that contracts amounting to R669 million with a company called, Sedtrade, constituted irregular expenditure.
This company was listed in a memorandum by the DA, in the Free State, to the Zondo Commission as one of the cases former Free State premier and ANC secretary-general Ace Magashule should answer to if appearing before the commission.
The DA said in the memorandum that this company has several multi-million rand contracts with different provincial departments that varies from the transport of medication to housing development and the distribution of marketing material. The Auditor-General states in the report that if the irregular expenditure on multi-year contracts could be reduced through investigations.
The finding could then lead to either the condonement or cancellation of contracts that irregularly awarded.
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