June 8, 2011
by George Mari
RECENT accusations levelled against KZN Human Settlement MEC Maggie Govender, citing evasiveness in failing to answer ongoing questions around the R1,6-billion Vulindlela housing project in the pro-vince amid further revelations that some of South Africa’s top political families are allegedly linked to the development company, merely scratch the surface of what the Democratic Alliance believes is a far more serious problem facing housing delivery in our province. Leading the charges made by the DA is the allegation that African National Congress president Jacob Zuma’s brother is a shareholder in the development company, Dezzo Construction. Meanwhile, fingers have also been pointed at senior politicians in our own KwaZulu-Natal provincial legislature….When government subsidies and funding are utilised, the project must go to public tender in terms of the Supply Chain Management process. In addition, the allocation of the management of R2,1 billion of public funds to a single company is not equitable in the context of the subsidised housing sector. The department has a responsibility in terms of procurement regulations to nurture and develop emerging companies in the sector, and yet it has allowed, through the VDA, a sum equivalent to a staggering 70% of its annual budget to be placed under the control of a single, established company. A tender of this magnitude — R1,6 billion — should never be awarded to a single entity. Read more….
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