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Corruption Watch has written to the National Treasury, seeking clarification on the status of the City of Tshwane’s (CoT) intention to blacklist controversial businessman Edwin Sodi’s companies, NJR Projects and Blackhead Consulting. This relates to the cholera outbreak in Hammanskraal in May 2023, in which several people lost their lives.
In a letter addressed to the Chief Procurement Officer Mendoe Ntswahlana, the organisation noted that seven months after the CoT announced its intention to blacklist Sodi’s companies, they still did not appear on the treasury’s register of restricted suppliers.
Corruption Watch has asked for answers to the following questions:
- Whether a letter from the City of Tshwane requesting that the joint venture companies CMS, NJR, and Blackhead and their directors be added to the restricted suppliers register was received and if so, the date of receipt.
- A status update on the process of adding these companies and their directors to the restricted suppliers register.
- If it has been decided not to restrict one or more of these companies and their directors from doing business with the state, the reasons for this decision.
- The expected date of completion of the process of adding these companies and directors to the restricted suppliers register.
- The practical repercussions for companies and directors who are added to the restricted suppliers register.
The organisation has a requested a response by Wednesday, 31 January 2024.
Read the letter below, or download it.
Playing with lives
Sodi’s companies, along with partner CMS, had secured a R290-million tender to upgrade the Rooiwal wastewater treatment plant, a large facility which serves the area. This he failed to do, completing only 60% of the first phase, and the contract was terminated in 2022 because of Sodi’s failing to perform.
A forensic investigation into the matter revealed that the tender was awarded irregularly. In September 2023 the Special Investigating Unit received a proclamation to investigate the tender, businesses linked to it and municipal officials involved in its awarding. The investigation will stretch back as far as January 2018.
Sodi is also linked to the disastrous Free State asbestos tender, and is facing criminal charges of fraud, corruption, and money laundering.