The alleged settlement by DTI to Valor IT

The South African Communist Party (SACP) commends Minister Davies a member of our Central Committee for setting the record straight once and for all on the Enterprise Content Management (ECM) misguided reporting by certain quarters of the media of an alleged settlement between the Department of Trade & Industry (the DTI) and Valor IT!

As the SACP we have been courteously following misleading reports and serious selective reporting to the public by the media that had nothing, but everything to do with tarnishing the reputation of comrade Rob Davies within the general campaign against all deployed communist cadres in the state and the SACP of late.

Background

As part of a general information communications technology (ICT) upgrade exercise, the firm Valor IT concluded an Enterprise Wide Content Management System Implementation agreement with the Companies and Intellectual Properties Office (CIPRO) during March 2009.

When certain information was brought to the attention of the Auditor-General (AG), the Office of the AG undertook a formal investigation. And the findings were categorically explained that the ECM tender was in fact irregularly awarded. Consequently, the then Director-General of the National Department of Trade & Industry Mr. Tshediso Matona and as the Accounting Officer for CIPRO terminated the contract between CIPRO and Valor IT on June 10, 2010.

In order to ensure proper and fair procedure, Valor IT was afforded an opportunity to provide reasons why they believe the contract should not be terminated before the decision to terminate the contract was taken by the National Department. In a letter to Valor IT a summary of findings and the reasons were tabled, and Valor IT did not respond.

The DTI took certain actions in respect to the awarding of the tender, such as reporting the matter to the relevant authorities.

It is public knowledge that on June 15, 2011 Valor IT brought an interim interdict on urgent bases against comrade Rob Davies minister of theDTI and CIPRO, interdicting and preventing them from:

1. Implementing the decision of the Director-General to cancel the ECM Tender awarded to Valor IT;

2. Removing the employees of Valor IT from CIPRO's sites;

3. Preventing Valor IT to continue with the implementation of the ECM contract; and

4. Appointing any service provider to continue with the implementation of ECM contract concluded between Valor IT and CIPRO subsequent to the award of the ECM Tender.

Valor IT had requested the interim interdict to be granted pending the finalization of the review application to be brought by the company against the minister of the DTI comrade of Rob Davies and CIPRO. The application was heard on November 25, 2010 but was not finalized as the parties were requested by the presiding judge to consider settling the matter in the public interest.

The settlement could not be reached. Valor IT is fully aware that the no settlement has been agreed. And the media is fully aware the application is still pending before the North Gauteng High Court!

Correct questions now

The correct question therefore to ask now is: Why is it that even after the AG has pronounced that the awarding of the Tender was irregular and that SCOPA commended minister Davies on the handling of the matter is it that no media is saying these things? But instead there is misreporting.

Where is the alleged fight against corruption in the media when there is direct intent to milk public funds this way? Because how can even after such profound finding can a Valor IT still want a settlement from the public purse?

We therefore commend minister comrade Rob Davies and shall support him in his drive to get back monies given to Valor IT irregularly.

It is against this background as the SACP we have noted unfortunate attempts to try this matter in the media and use the media to compel the DTI and comrade Minister Rob Davies into a settlement that is based on conditions and demands that of the public!

As the SACP we are confident that any settlement to Valor IT will not be in the public interest. And we ask what agenda are those parts of the media that continue to press the DTI to pay "compensation" to Valor IT pursuing?

Statement issued by the South African Communist Party, February 6 2011

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