The tender trap

The tender trap

Billion-rand grey money dispute offends Supreme Court of Appeal.

In South Africa, it’s arguable that the biggest source of easy grey money – money earned by corrupt means not easily detected or provable – is the multi-billion rand state tender sector. Examples range from the notorious 1999 Arms Deal to the more recent Nkandla debacle.

In a benchmark 2007 tender case involving Phoenix Cash & Carry, heard in the Supreme Court of Appeal (SCA), the Court observed that  “Unfortunately, as experience in this court proves, the high standards that the Constitution sets seem to be more honoured in the breach than in the observance”. Since then, little, if any, reform has been formulated, never mind implemented, to counter the insidious process.

But what about the situation where a losing tender party goes berserk after a genuine winner has emerged?

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