DA reveals evidence that the first phase of nuclear deal is corrupt
22 August 2017
The DA can today confirm that the first phase in the nuclear deal has been found to be corrupt by the Auditor-General (AG). The DA is in possession of extracts of the AG’s forthcoming report for the financial year ending March 31 2017.
The AG’s findings are unequivocal - the nuclear procurement process to date is irregular and unauthorised. The report makes the following findings:
- The procurement of the Nuclear Procurement Management System (NPMS) – awarded to Central Lake Trading t/a Empire Technology and owned by close Zuma ally, Vivian Reddy, was irregular. The original amount of the contract was also inflated from R60 million to R171 million by the Department of Energy (DoE).
- The procurement of Nuclear Transaction Advisory Services, awarded to Mahlako A Phahla, was unauthorised as there was vast deviation from the original specifications from 11 work requirements in the original contract to four work requirements – all unrelated to the original, in the subsequent contract issued by the DoE. This deviation meant that the DoE was, in fact, embarking on a new contract which would, in turn, need to be subjected to a new and separate competitive tender process.