Moyane’s pal shared in SARS spoils based on ‘nonexistent’ BEE list
Commission of inquiry told that SARS consultant was never on any list of preferred empowerment partners
A list of preferred empowerment partners at the SA Revenue Service – which was used to persuade global consultancy firm Gartner to share its spoils with a company linked to Tom Moyane’s close friend – does not exist.
Gartner received about R200m to review the SARS IT strategy and modernisation programme – 40% of which, according to reports by Daily Maverick, was paid to Rangewave Consulting. Rangewave is owned by Patrick Monyeki, a friend of the now-suspended commissioner.
The commission of inquiry into tax administration and governance at SARS previously heard that, as a clause of accepting the lucrative contract, SARS had to collaborate with Rangewave as an empowerment partner. Rangewave was said to be on a list of preferred empowerment partners at SARS.
However, that list apparently does not exist, the inquiry heard on Wednesday.
According to SARS senior specialist in procurement Michael Mavuso, who testified at the commission, there “is no such list” at the revenue collector. This has raised further questions into the procurement processes used by SARS to contract Gartner.
Answering questions by evidence leader Advocate Carol Steinberg, Mavuso also said the terms of reference for the contract were “confusing”.
“The terms of reference was just a document that [former SARS chief officer for business and individual taxes Jonas Makwakwa] brought in … It was bad, it cannot be a terms of reference. It confused me,” Mavuso said.
The commission is said to have e-mails which show that it was Monyeki who allegedly wrote the terms of reference for the contract. This evidence will be discussed next week when representatives from Gartner appear before retired judge Robert Nugent and his team.
Johnstone Makhubu, who testified after Mavuso and who previously served as SARS group executive for procurement, said there should have been more effort to make sure the scope of work outlined in Gartner’s contract was holistic from the outset.
“The procurement process should be kept sacrosanct and the procurement professionals should be protected from interference in executing their work. If that is not done you are leaving them to influence, they may not be able to manage …There should have been efforts to make sure the scope of the work was holistic,” he said.
“Procurement processes start with an appreciation that the parties are acting in good faith. Collusion is an anomalous situation.”
Former SARS chief operating officer Barry Hore is expected to testify on Thursday. Acting commissioner Mark Kingon will appear before the commission on Friday.