Court blocks tender award

The Joburg High Court has ordered the Emfuleni local municipality to re-advertise the multimillion-rand tender it awarded to Kunene Makopo Risk Solutions without following the tender process.

Emfuleni was taken to court by Opulentia Insurance Services, a company that had been providing insurance services to the municipality for the past 18 months.


Opulentia’s contract ended in December last year, and the municipality had to publish an invitation requesting proposals for short-term insurance brokerage services. According to Opulentia director Vosloo Pienaar’s court affidavit, Emfuleni had published the invitation for bidders, while a compulsory briefing meeting was held on May 17 last year, and bidders had to submit their bids by June 14 last year.

“Opulentia tendered a total bid price of R13 326 775 for the … contract, to run for three years.” Kunene Makopo had submitted two price options, one of more than R16-million, while option two amounted to more than R22-million. Responding to Sunday World, the MD of Kunene Makopo Risk Solutions, Dumi Makopo, said he had not seen the judgment handed down by Judge Denise Fisher on February 25.

Emfuleni spokesperson Makhosonke Sangweni said: “The Emfuleni local municipality would like to put it on record that we are seriously concerned by the unfortunate fact that confidential information has been leaked into the public space, while efforts to resolve the matter with parties concerned are still underway.”

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