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Special Tribunal Voids KZN School Toilet Contract, Orders Profit Forfeiture and Action Against 16 Officials

An SIU case exposed collusion, price-fixing, backdated paperwork, inflated charges, plus payments for services not rendered.

Overview

  • Special Tribunal Judge Chantel Fortuin set aside the June 2020 award for 72 chemical toilets to 11 schools, finding the R2.5 million spend was irregular.
  • Huluwethu (Pty) Ltd must file audited accounts within 30 days and repay all profits with interest, as well as the state’s legal costs.
  • KwaZulu-Natal education MEC Sipho Hlomuka has been directed to institute disciplinary proceedings against 16 officials implicated in supply chain breaches and unlawful contract extensions.
  • Evidence included pre‑bid contact with officials, an undeclared conflict of interest, backdated bid documents, more than 100% mark‑ups, and claims for services during periods when no servicing occurred.
  • The SIU brought the case under Presidential Proclamation R23 of 2020 and may pursue further civil recovery while referring any criminal evidence to the National Prosecuting Authority.