Gauteng Education MEC Lebogang Maile welcomes SIU settlements in R431m school sanitisation contracts case.

The Special Investigating Unit’s (SIU) progress in recovering funds linked to irregular Gauteng Department of Education (GDE) contracts worth millions has been progressive.

The contracts were awarded for the decontamination, disinfection and sanitisation of schools during the pandemic.

According to the department, the GDE spent approximately R431m between March and December 2020 on sanitation-related services as part of efforts to prepare schools for safe reopening during the pandemic.

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The services included decontamination, deep cleaning and fogging at public schools across Gauteng to ensure that learning environments complied with health and safety regulations.

Concerns were later raised about procurement processes, pricing and whether the department received value for money.

The SIU investigation formed part of broader government efforts to strengthen accountability and transparency in the use of public funds, especially during emergency procurement processes linked to the COVID-19 pandemic.

Following its investigation, the SIU submitted referral letters to the GDE’s accounting officer on July 7, 2021.

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The referrals related to four senior managers who were allegedly implicated in the procurement processes.

The department later instituted misconduct proceedings against three senior managers: the chief director for supply chain management, the chief director for infrastructure, and the acting director for auxiliary services.

The three senior managers were found guilty during disciplinary hearings and were dismissed from the department. One of the dismissed managers is also facing a pending criminal corruption case.

The department said two of the former senior managers have referred unfair dismissal disputes to arbitration, with the outcomes still pending.

In May 2021, the SIU obtained a preservation order from the Special Tribunal, freezing about R40.7m in bank accounts and assets linked to several companies, individuals and trusts involved in the contracts.

A second preservation order was secured in June 2021, freezing a further R22.4m linked to other implicated companies.

The SIU later succeeded in having the contracts reviewed and set aside. In February 2022, the Special Tribunal ruled in favour of the SIU and set aside at least 49 contracts linked to the school decontamination programme.

The Tribunal found that proper procurement processes had not been followed and ordered affected service providers to account for and repay profits made from the irregular contracts.

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Some of the service providers had lodged an appeal before the Johannesburg High Court against the Special Tribunal ruling.

However, following settlement agreements with the SIU, the companies have agreed to withdraw the appeal proceedings.

Maile welcomed the developments, saying the department was encouraged by progress in recovering money paid to companies following deviations from normal procurement processes.

“As a department, we are thrilled that progress is being made in recouping the money which had been paid to these companies following deviations from normal procurement processes during the COVID-19 pandemic,” said Maile.

“We believe these steps will go a long way in discouraging such behaviour in the future.”

Maile added that corruption and unethical conduct should not be tolerated, especially when public funds meant for education are involved.

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“We must never co-exist with corrupt and unethical people who want to steal from the future of our children, because the success of this country depends on the success of education through the optimal use of the scarce resources,” he said.

“Law enforcement agencies must show no mercy when dealing with individuals who are displaying moral and ethical fatigue, thus undermining the mandate of the department,” said Maile.