Subcontractor cries foul after his road project contract is cancelled

Free State-based Phezulu Plant construction company has been accused of failure to pay outstanding amount to a subcontractor. 

Thomas Msimango of Forward Upwards has accused Phezulu of exploitation after it allegedly declared the work of his company sub-standard.

Forward Upwards’ contract to rebuild a 250-metre paving section of a road within seven days was cancelled allegedly just 20 metres from completion.


Msimango’s company was subcontracted for the special maintenance of P41/2 between Tweeling, Reitz and Frankfort in Free State. The project was worth R981 936.00 excluding value added tax.

Msimango said the project did not start immediately due to heavy rainfall towards the end of the year but began the work in January when conditions had improved.

“In March, material was delayed and they (Phezulu Plant) changed the supplier but we continued amid the challenges anyway,” Msimango said.

“In August, I was told that told that my work is not impressive because the road needed further repair work after cars had driven over it.

“At this point, I was given a seven-day deadline to redo the project and I agreed because they told me I would still receive the outstanding money. Suddenly, I am told that I will not be paid.”

Msimango said it shocked him that he was expected to repair the road without further funding when he was still owed for the initial work.


He said he lived in fear because he was unable to pay his workers. He said his employees were enraged after they were not paid for two months as he waited payment form Phezulu.

Msimango said he communicated an arrangement that his employees be paid first by Phezulu as he waited to paid later. But the advance for the employees was R47 000 which they had to share.

He was served with a termination letter afterwards.

Msimango said he was now forced to visit the construction site to demand his outstanding payment.

In the termination letter which Sunday World has seen, poor workmanship on his paving portion of the road project is cited as the reason for the termination. The letter explains that Forward Upwards was requested to demolish and redo the work from August 31 2023.

Work was incomplete on the first inspection on September 8, the second one on September 11 and the third one on September 15 when Danie van Rensburg and Lebohang Kujoana came for final inspection, the letter said.

Van Rensburg, project coordinator, said they held back Forward Upwards payment due to poor workmanship and incomplete work after also failing to reach deadline to repair the defects on the pavement work.

He said the department of police, roads and transport in Free State wrote to Phezulu Plant on September 18 2023 instructing that they, as the main contractor, should repair the work at their own cost as the project was subjected to 24 months retention period that had reached deadline.

“We again consulted with Mr Msimango and a full and final payment certificate were sent to us for payment on 29 September 2023.

“As per agreement, this full and final certificate amounts to R47 000.00 to assist Mr Msimango to pay his local workers. The mentioned amount was paid to Forward Upwards.

“We terminated the contract on 29 September 2023 by official letter to Forward Upwards. We started to fix the road and defects and get stopped on a daily basis to complete this by Forward Upwards to the extent that we involved SAPS,” said Van Rensburg.

He said all other subcontractors were paid and completion letters were issued.

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