The Sunday News
Dumisani Sibanda Sunday News Correspondent
THE Matabeleland Chapter of the Affirmative Action Group (AAG) wants two Bulawayo City Council senior officials to be investigated for alleged criminal abuse of office following a botched ambulance tender in which the local authority paid a briefcase company about $200 000 and it disappeared without supplying the “state-of-the-art ambulances ” it had promised.
Access Medical won the tender in 2010 to supply Bulawayo City Council with four ambulances valued at $341 844 with the unit price of each vehicle being $85 461 and was paid 60 percent of the contract price in 2013 amounting to $203 106,40 which was enough to pay for two ambulances.
However, the Harare-based company “disappeared” without delivering the ambulances.
Earlier this month, a Bulawayo-based Member of Parliament raised the matter in Parliament but the Deputy Minister of Local Government, Cde Christopher Chingosho, came out fiercely defending the MDC-T-run council — which had given the tender to Access Medical despite not being the lowest bidder — saying tender procedures were above board and the company offered good terms.
“It’s important to note that these contracts were in 2010 soon after the introduction of the multi-currency system and council was operating on a cash budget,” Cde Chingosho told the Parliamentarians.
“Council’s cash-flows were not good and the idea was to try and buy these ambulances on credit and then pay in instalments. All the other tenderers wanted cash on delivery and so we then opted for this tenderer who could give council terms. All the other tenders which came after these were strictly cash on delivery to avoid further loss.”
But the AGG would not have that as it suspects this was a council inside job that should be investigated.
In its letter of complaint to the police, the AAG fingers two senior council officials (names supplied) for “flouting of clause six in the procurement of four ambulances with state-of-the-art equipment” and “flouting general conditions of tender in cherry-picking awards in spite of bids”.
The letter goes on to show violations of tender procedures.
“City of Bulawayo flighted a tender for the supply of four state-of-the-art ambulances and bids were received,” reads the letter.
“The contract was valued at $341 844, the unit price for each ambulance being $85 461. The tender was awarded to a company called Access Medical. Tender regulations demand that setanis paribas sic (ceteri paribus — meaning all things being equal) (a) the tender award should be granted to the tenderer with the lowest cost price. (b) the awarded company should provide a bank comfort of 10 percent of award amount within 30 days of the award.”
It is alleged this was not done and it outlines other further violations of the tender procedures.
“The award granted to Access Medical was not based on the lowest amounts as listed on the day tender box opening,” states the AGG in its letter of complaint.
“There was no performance security provided for the tender. The tender was valued at $341 844,00; a security of $34 184, 40 required within 30 days of award should the tenderer default. Which was the case in this instance.
“According to Clause 35.2 of the instruction to Bidders, the award to Access Medical would have been annulled following their failure to furnish the performance bond but . . . (council official name supplied) went ahead with the transaction despite the risk exposure that the city of Bulawayo was being subjected to. This was also done without council authority.”
According to the letter, in terms of Clause 15 of Council’s Conditions of Contract, a further bid security of 10 percent of bid price that translates to $34 184,40 which is meant as a means of evaluating the suppliers’ credibility, was supposed to be furnished.
“The supplier failed to furnish this bid security, upon which it was meant to be disqualified in terms of Council Tender Regulations,” reads the letter.
“Clause 15.4 of the conditions of contract and clause 27 of Statutory Instrument 171/2002.”
The AAG further alleges that the initial tender invitation starter terms were “cash upon delivery” but a council official (name supplied) decided to vary the terms of the tender to Access Medical, as their demand for a 60 percent advance payment was outside the tender specifications.
“According to Council’s General Conditions of Contract, advance payments do not normally exceed 20 percent of contract price and are only made out on condition that the supplier furnishes an advance payment bond/guarantee from a bank equal to the amount advanced. This was not followed once again.”
The pressure group accuses another BCC official — who was reportedly controversially promoted by the other senior council official who is also a suspect in this case — of neglecting his duty in this particular case.
It contends the official “was expected to carry out due diligence, inspect the bidders’ premises, references, previous clients etc but this was not done, to the best of our knowledge, exposing the City of Bulawayo to unnecessary risk”.
The AAG alleges the lifestyle of this official changed dramatically soon after the award of this contract.
It says the official has made “considerable lifestyle changes, upgrades as follows: acquiring a luxury Volvo S-Class vehicle, acquiring a Mazda B Series truck, moved from Cowdray Park (Bulawayo) to a plush mansion in Suburbs (Bulawayo), upgraded his children to attend private schools and tuition for himself at the prestigious Great Zimbabwe University, where he enrolled about the same time”.
Efforts to get a comment from the police spokesperson, Inspector Precious Simango were fruitless.
