The Mpumalanga premier’s office has successfully overturned unlawful contracts with two service providers, preventing payment of more than R213-million in disputed claims and setting the stage for further cost recovery through an independent audit.
The High Court in Mbombela ruled on July 25 that procurement processes involving CAJV (Pty) Ltd and The iFirm Trading and Projects (Pty) Ltd were unlawful.
The court also set aside all agreements and extensions relating to the acquisition of the Case Information and Investigation Management System (CiiMS).
CiiMS is specialised case management software designed to track and monitor legal and investigative matters across government departments.
Under the disputed contracts, CAJV was responsible for customising and supplying software to the provincial government. It also subcontracted law firm Adendorff Theron Inc. to handle litigation for government departments.
Adendorff did not challenge the self-review by the premier’s office.
The iFirm is a South African-based forensic investigation firm providing criminal investigation and consultancy services for public and private entities.
The office of Mpumalanga Premier Mandla Ndlovu argued that neither CAJV nor iFirm was authorised to render legal services in their own names or invoice the government for them.
The court found that the companies subcontracted legal work to attorneys but charged the government inflated prices.
Judge Kgama Shai said the practice of invoicing for more than the attorneys charged “could be interpreted as attorneys sharing fees with non-legal practitioners”, which is prohibited by the Legal Practice Act.
The court limited any payment for legal services to the actual invoices issued by the law firms involved, not the marked-up figures charged by CAJV or iFirm.
CAJV and iFirm’s unpaid claims totalled R213.87-million. Against the premier’s office, CAJV sought R105.68-million for the CiiMS system, legal and professional services, plus R17.44 million interest.
iFirm claimed R21.02-million for legal services, mostly billed to other departments. Against the provincial health MEC, CAJV claimed R50.92-million for legal and professional services and R3.99-million interest.
Against the provincial education MEC, CAJV claimed R13.79-million for similar services and R1.04-million interest. They also sought legal costs in related proceedings.
The court also scrutinised the purchase of two stand-alone versions of CiiMS, which cost the province hundreds of millions of rands.
This purchase, agreed upon during the tenure of former director-general Thulani Mdakane, was concluded outside of a competitive bidding process.
Shai ruled that the decision to acquire the system without an open tender was “irregular and amounted to an illegality, as it went against procurement prescripts”.
The court ordered an independent audit to determine the true market-related cost of the software.
The Independent Regulatory Board of Auditors will investigate whether CAJV made excessive profits from the deal and will report back to the court within 90 court days.
The premier’s office will file monthly updates to show compliance with the order.
Although the court awarded costs to CAJV and iFirm, the premier’s office considers this a small price compared to the hundreds of millions of rands in claims that have been blocked.
The judgment describes CAJV and iFirm as “innocent respondents” because they responded to tenders advertised by the government at the time and delivered services, even though the procurement process was later found to be unlawful.
Ndlovu’s administration continued the self-review process started under former premier Refilwe Mtshweni-Tsipane in 2023, when she instructed that the contracts be challenged and no further payments made.
The case was built with support from senior officials in finance, IT, integrity management, and forensic investigations.
The court’s ruling means CAJV and iFirm can no longer enforce payment for the disputed invoices.
Any future payments will depend on legitimate claims backed by the original attorneys’ invoices and the outcome of the CiiMS audit.
The premier’s office says the decision protects public funds, strengthens accountability, and ensures that only lawful and reasonable costs will be paid for services actually provided.
ERRATUM: On July 29, 2025, Sunday World published a story titled “Mandla Ndlovu’s office loses court bid to cancel tenders from David Mabuza era”. The headline incorrectly suggested that Premier Mandla Ndlovu lost in the Mbombela High Court, when in fact his office was successful. The judgment granted the exact relief sought by the premier’s office, which acted to expose procurement irregularities and prevent wasteful expenditure. The body of the story wrongly implied judicial criticism of the office, overlooking its decisive role in securing this outcome. We regret the error and apologise to Premier Ndlovu and former premier Refilwe Mtshweni-Tsipane.
