‘No grounds to cancel’: Madlanga commission takes apart Tshwane security tender decision

A cancelled City of Tshwane security tender came under intense scrutiny at the Madlanga commission of inquiry on Tuesday, where officials sharply questioned whether there were any lawful grounds to cancel the process.

Suspended municipal chief financial officer Gareth Mnisi was pressed to justify the decision, as evidence leader Matthew Chaskalson and commissioners repeatedly challenged the reasons provided by the bid evaluation committee.

The tender for ad hoc security services for various municipal properties was scrapped due to contradictions and potential irregularities in its specifications, as described by Mnisi.


Reading from the stated reasons for the cancellation, Mnisi explained: “The specifications stipulate that some areas do not require armed guards, whereas the mandatory requirement dictates that bidders who do not submit firearm licences as part of their bid would be disqualified.

“Therefore, it is disadvantaging those who do not have firearm licences. The specifications were silent on the PSIRA [Private Security Industry Regulatory Authority] pricing guidelines that should be considered.”

Additional findings

However, Chaskalson challenged this justification, arguing that the issues raised did not amount to material irregularities.

“I am going to put it to you that this is not a material irregularity at all, certainly not one that in its own right would justify the cancellation of a tender. What is your response to that?” he asked.

Mnisi disagreed, maintaining that the contradictions were significant.

“I might not recall verbatim what the outcomes of the discussions were and what the main reason was that led us to isolating this as an additional issue, but it was of high concern. That contradiction was raised as a key issue that must be highlighted,” he said.

He further claimed that the property team raised 12 additional findings. But Chaskalson pointed out that the official resolution listed only the reasons already discussed.


“You keep on speaking about additional reasons, but if you look at the resolution, these are the only reasons given,” Chaskalson said.

Pressed to identify where these additional reasons appeared in the documentation, Mnisi conceded that they were not recorded.

“Sorry, Mr Mnisi, please look at the documents and point us to where you see any reference to reasons. Refer me to the decision of the bid evaluation committee,” Chaskalson insisted.

Mnisi acknowledged the absence of further reasons but asked to provide context. Chaskalson cut him short. “Thank you; that is all I needed. We have heard the speeches already.”

Commission chairperson Justice Mbuyiseli Madlanga also criticised Mnisi’s tendency to over-explain.

“You do this even to questions that do not require an explanation. Mr Chaskalson asked you a simple question, and I find a need for an explanation in this context not understandable.

“Try to avoid giving explanations when they are not necessary; we have limited time,” Madlanga said.

Tender silent on PSIRA rates

Mnisi reiterated that the tender had loopholes and was silent on the PSIRA rates but conceded under questioning that these issues could have been addressed differently.

“But that is not an irregularity because you could have drawn the specification differently because you had changed your mind on it,” Chaskalson said. Mnisi agreed.

Commissioner Sesi Baloyi added that, as a matter of law, the reasons provided were insufficient grounds for cancellation.

“There was no set requirement on the tender, and therefore you cannot cancel on this ground. I am putting that to you as a correct position of law,” Baloyi said.

Mnisi again agreed.

Baloyi further said suspended police sergeant Fannie Nkosi had access to tender-related documents.

“It should not have been in his possession, and on the face of it, that is a corruption already; the tender process is being muddied.

“A tender document of an incomplete tender assessment process is sitting with a member of the public, which is problematic. That in itself is a regularity. Do you accept that?” said Baloyi.

Mnisi conceded again.

READ MORE: Tshwane CFO Mnisi grilled over discussing Tshwane tenders with cop Nkosi

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  • The City of Tshwane's cancelled security tender faced scrutiny at the Madlanga commission, questioning if lawful grounds existed for cancellation.
  • Suspended CFO Gareth Mnisi justified cancellation citing contradictions and irregularities in tender specifications, including inconsistent firearm license requirements and lack of PSIRA pricing guidelines.
  • Evidence leader Matthew Chaskalson and commissioners challenged these reasons, stating they were not material irregularities and insufficient for cancellation under the law.
  • Mnisi admitted some alleged additional reasons were not documented, and commissioners criticized his over-explanations and acknowledged that the tender issues could have been addressed without cancellation.
  • Concerns were raised about corruption risks after suspended police sergeant Fannie Nkosi had access to tender documents, which Mnisi conceded was inappropriate.
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A cancelled City of Tshwane security tender came under intense scrutiny at the Madlanga commission of inquiry on Tuesday, where officials sharply questioned whether there were any lawful grounds to cancel the process.

Suspended municipal chief financial officer Gareth Mnisi was pressed to justify the decision, as evidence leader Matthew Chaskalson and commissioners repeatedly challenged the reasons provided by the bid evaluation committee.

The tender for ad hoc security services for various municipal properties was scrapped due to contradictions and potential irregularities in its specifications, as described by Mnisi.

Reading from the stated reasons for the cancellation, Mnisi explained: "The specifications stipulate that some areas do not require armed guards, whereas the mandatory requirement dictates that bidders who do not submit firearm licences as part of their bid would be disqualified.

"Therefore, it is disadvantaging those who do not have firearm licences. The specifications were silent on the PSIRA [Private Security Industry Regulatory Authority] pricing guidelines that should be considered."

However, Chaskalson challenged this justification, arguing that the issues raised did not amount to material irregularities.

"I am going to put it to you that this is not a material irregularity at all, certainly not one that in its own right would justify the cancellation of a tender. What is your response to that?" he asked.

Mnisi disagreed, maintaining that the contradictions were significant.

"I might not recall verbatim what the outcomes of the discussions were and what the main reason was that led us to isolating this as an additional issue, but it was of high concern. That contradiction was raised as a key issue that must be highlighted," he said.

He further claimed that the property team raised 12 additional findings. But Chaskalson pointed out that the official resolution listed only the reasons already discussed.

"You keep on speaking about additional reasons, but if you look at the resolution, these are the only reasons given," Chaskalson said.

Pressed to identify where these additional reasons appeared in the documentation, Mnisi conceded that they were not recorded.

"Sorry, Mr Mnisi, please look at the documents and point us to where you see any reference to reasons. Refer me to the decision of the bid evaluation committee," Chaskalson insisted.

Mnisi acknowledged the absence of further reasons but asked to provide context. Chaskalson cut him short. "Thank you; that is all I needed. We have heard the speeches already."

Commission chairperson Justice Mbuyiseli Madlanga also criticised Mnisi’s tendency to over-explain.

"You do this even to questions that do not require an explanation. Mr Chaskalson asked you a simple question, and I find a need for an explanation in this context not understandable.

"Try to avoid giving explanations when they are not necessary; we have limited time," Madlanga said.

Mnisi reiterated that the tender had loopholes and was silent on the PSIRA rates but conceded under questioning that these issues could have been addressed differently.

"But that is not an irregularity because you could have drawn the specification differently because you had changed your mind on it," Chaskalson said. Mnisi agreed.

Commissioner Sesi Baloyi added that, as a matter of law, the reasons provided were insufficient grounds for cancellation.

"There was no set requirement on the tender, and therefore you cannot cancel on this ground. I am putting that to you as a correct position of law," Baloyi said.

Mnisi again agreed.

Baloyi further said suspended police sergeant Fannie Nkosi had access to tender-related documents.

"It should not have been in his possession, and on the face of it, that is a corruption already; the tender process is being muddied.

"A tender document of an incomplete tender assessment process is sitting with a member of the public, which is problematic. That in itself is a regularity. Do you accept that?" said Baloyi.

Mnisi conceded again.

READ MORE: Tshwane CFO Mnisi grilled over discussing Tshwane tenders with cop Nkosi

Visit SW YouTube Channel for our video content

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