Latest news with #R898
The Citizen
21-07-2025
- Automotive
- The Citizen
Call to extend driver's license validity
South Africans have complained about the slow pace at which driver's license cards are being issued. The Organisation Undoing Tax Abuse (Outa) executive director advocate Stefanie Fick has written to Minister of Transport Barbara Creecy to consider extending the validity for all licence cards to 10 years and waive fines and temporary licences for those whose new licence cards are stuck in the backlog. This comes after the Department of Transport reported a backlog of 690 000 driving licence cards, arising from the breakdown earlier this year of the sole card-printing machine. Outa CEO Wayne Duvenhage said after months of delay, the department had finally filed papers in the High Court in Pretoria aimed at overturning the R898 million contracts awarded to Idemia South Africa to supply a new driving licence card machine. Duvenhage said the auditor-general took their concerns seriously: 'We commend Minister Creecy for acting on them. This is how civil society, oversight institutions and public representatives should work together to tackle maladministration.' He added: 'In early September last year, Outa exposed procurement irregularities in this contract and submitted a detailed report to Creecy, who passed it on to the auditor-general of South Africa and asked for further investigation. That request was accompanied by Outa's detailed report outlining allegations of procurement irregularities.' ALSO READ: 'Self-destructing' number plates for Gauteng? Here's what to know Duvenhage said the court papers outline multiple flaws in the contract, including a nearly R400 million cost escalation, from the original Cabinet-approved budget of R486.385 million to the signed contract of R898.597 million. Also contributing was the use of outdated pricing, omission of printing material costs, evaluation errors in scoring, machine assessments and bidder non-compliance and weak documentation. AfriForum also wanted Creecy's to issue temporary licences free of charge to motorists who renew their licences on time, amid the backlog in the issuing of driving licence cards. Spokesperson Louis Boshoff said the department had ignored workable solutions, such as extending the validity period of licence cards. – [email protected] NOW READ: RAF CEO placed on special leave with full pay, as MPs grill fund
The Citizen
17-07-2025
- Business
- The Citizen
Outa welcomes dissolving of RAF board and cancelling of license card tender
The RAF board was suspended after many calls to fix the RAF, while it seemed that the licence card tender was awarded irregularly, Outa says. Civil action organisation Outa has welcomed more heads rolling in the Department of Transport as the RAF board is dissolved and the dodgy licence card contract heads to court as the department tries to cancel it. Outa said in a statement that it welcomes this decisive action from Minister Barbara Creecy and urges full accountability. Dissolving the Road Accident Fund (RAF) board is the latest in a string of accountability moves in the department. These steps follow the suspension of RAF CEO Collins Letsoalo in June, along with a series of high-level suspensions and interventions at other entities in the transport portfolio. 'Too much has gone unchecked for too long. Minister Creecy's decision to dissolve the RAF board sends a strong message that poor governance and executive overreach will no longer be tolerated,' Wayne Duvenage, CEO of Outa, says. ALSO READ: Creecy dissolves RAF board amid governance and operational failures Outa noted deep governance failures at RAF He points out that Creecy cited deep governance failures at the RAF, including: Wasteful litigation over accounting standards The mishandled suspension of Letsoalo A flood of default judgments increasing the RAF's liabilities Persistent divisions within the board The longstanding failure to fill critical posts, including chief claims officer and head of legal. 'In our view the board failed to challenge irregular conduct and allowed serious issues to fester, including the suspension of other senior staff without due process, which appeared aimed at silencing internal dissent.' Duvenage says Outa calls on the minister to appoint a new board with the governance depth and political will to reform the RAF, restore its mandate and investigate misconduct under the previous leadership. ALSO READ: RAF CEO placed on special leave with full pay, as MPs grill fund Outa welcomes key changes at Department of Transport He points out that this follows these other key changes in the transport sector: The Road Traffic Management Corporation (RTMC) CEO advocate Makhosini Msibi was placed on precautionary suspension by the RTMC board from 1 July. The Airports Company South Africa (ACSA) group executive for enterprise, security and compliance, lieutenant general Mzwandile Petros, was also suspended. The RAF's chief investment officer, Sefotle Modiba, was suspended with Letsoalo. And now, Duvenage says, after months of delay, the Department of Transport finally filed papers in the Pretoria High Court aimed at overturning the controversial R898 million contract awarded to Idemia South Africa to supply a new driving licence card printing machine. In early September last year, Outa exposed serious procurement irregularities in this contract and submitted a detailed report to Creecy, who passed it on to the Auditor-General of South Africa (AGSA) and asked for further investigation. ALSO READ: Why has the questionable driving licence card tender not been overturned? Outa's exposed serious procurement irregularities The AGSA's report, which forms part of the department's court papers, confirms that Creecy requested an investigation on 5 September after 'widespread public concern' over the appointment of Idemia. The request was accompanied by Outa's detailed report outlining allegations of procurement irregularities. 'The minister's communication was accompanied by a letter from Outa that contained specific allegations of an irregular procurement process were made. At the time of receiving the minister's request, auditors at the AGSA were already in the process of reviewing the specified tender as an early regularity audit process,' Duvenage says. The AGSA then expanded its investigation scope. 'The AGSA took our concerns seriously, and we commend Creecy for acting on them. This is how civil society, oversight institutions and public representatives should work together to tackle maladministration.' ALSO READ: Transparency concerns arise over new driving licence card machine tender Outa got the ball rolling to stop Idemia contract The court papers outline multiple flaws in the contract, including: A nearly R400 million cost escalation, from the original cabinet-approved budget of R486 385 million to the signed contract of R898 597 million. Use of outdated pricing. Omission of printing material costs. Evaluation errors in scoring and machine assessments. Bidder non-compliance and weak documentation. The case is brought by the Department of Transport, with the founding affidavit filed by the department's acting director-general, Mathabatha Mokonyama, against Idemia South Africa. (The director-general, advocate James Mlawu, resigned last year with effect from 28 February 2025). The department is asking the court to set aside the Idemia contract, re-run the tender and allow the Department of Home Affairs to print the licence cards in the interim. ALSO READ: DoT urged to pause driving licence card machine procurement Outa says DLCA linked capacity for such a complex render The procurement process was managed by the Driving Licence Card Account (DLCA), an entity in the Department of Transport which the department admits lacked the capacity to handle such a complex procurement. Duvenage points out that while the tender documents refer to 'Idemia Identity and Security – South Africa,' Outa noted that no such entity exists in the Companies and Intellectual Property Commission (CIPC) registry. The contract was ultimately signed with Idemia South Africa, a company that changed its name from Morpho Cards SA in 2021. The department included the AGSA's report, its own internal procurement assessment and an external review as supporting evidence in the case. A notice in the court file confirms that the department is opposing mediation, citing unresolved disputes with Idemia. It is not yet clear whether Idemia will oppose the legal challenge, Duvenage says.
IOL News
10-07-2025
- Automotive
- IOL News
Legal limbo: SA's R898 million driver's licence contract with IDEMIA still unresolved
The Department of Transport is facing numerous questions regarding the R898 million smart driving licence cards tender awarded to Idemia. Image: Supplied Six months after the Department of Transport announced plans to approach the courts for a declaratory order on a controversial contract with French tech firm IDEMIA, the matter has yet to be heard. The R898 million contract, awarded to IDEMIA to supply equipment for printing South Africa's driver's licences, is in limbo. The deal came under scrutiny after a separate IDEMIA contract with Airports Company South Africa (ACSA) was cancelled following a dispute with its BEE partner, Infoverge. The fallout prompted Transport Minister Barbara Creecy to review the IDEMIA deal. The Auditor-General was called in, and the findings flagged significant procurement irregularities and non-compliance with key tender requirements. In response, Creecy halted IDEMIA's work pending the outcome of a legal challenge. Transport Minister Barbara Creecy has halted IDEMIA's contract, calling on the Auditor-General to review the procurement process Image: Ayanda Ndamane / Independent Newspapers Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading 'It's mind-boggling that six months later, nothing has been done and the country is left to suffer,' said Organisation Undoing Tax Abuse (OUTA) CEO Wayne Duvenage. 'If the minister hadn't announced plans to go to court, we would have filed papers to have the IDEMIA contract overturned.' Transport spokesperson Collen Msibi confirmed the legal process is now moving forward. 'We finalised our court papers in the past two weeks and are ready to apply for a declaratory order,' said Msibi. A declaratory order is a legal ruling that clarifies the rights and obligations of parties in a dispute. This follows IDEMIA's warning that it would contest any attempt to cancel the contract. Asked what would happen if the court rules against IDEMIA, Msibi said contingency plans are in place. 'We have other service providers, and the Department of Home Affairs already has a printing facility we can use,' she said. Friederike Lyon, a France-based spokesperson for IDEMIA, said the company maintains it 'legitimately and lawfully' secured the tender and is willing to address concerns raised by the Auditor-General. 'IDEMIA has noted the Department of Transport's decision to seek a declaratory order. While some findings fall outside our scope, those relating to IDEMIA do not reflect the reality of our operations. We remain fully committed to working with the government to clarify any issues and ensure South Africans benefit from secure, advanced driver's licence solutions,' Lyon said. Get your news on the go, click here to join the Cape Argus News WhatsApp channel. Cape Argus
IOL News
09-07-2025
- Politics
- IOL News
News you should know tonight: Top 5 stories you may have missed on July 9, 2025
Good evening, IOL News family! It's Wednesday, July 9, 2025, and it's time for a wrap of the biggest headlines making waves in South Africa and beyond. Don't forget to join the IOL WhatsApp Channel to stay in tune, informed, and in the know. National Assembly Speaker Thoko Didiza says no to debate on Lt-Gen Mkhwanazi's bombshell claims National Assembly Speaker Thoko Didiza has refused to allow a debate on the explosive remarks made by KwaZulu-Natal Police Commissioner Lieutenant General Nhlanhla Mkhwanazi but has assigned three committees to urgently investigate the matter. To read on, click here. Another cold front expected to rip through the western parts of South Africa The South African Weather Service (SAWS) is predicting very cold, as well as wet and windy conditions in the Western Cape and Northern Cape. To read on, click here. Your grant is safe: SASSA dismisses false claims of mass re-registration and suspension The South African Social Security Agency (SASSA) has moved to calm the nerves of millions of social grant beneficiaries following the circulation of a fake video on social media, which "falsely claims that all recipients must re-register or risk losing their grants". To read on, click here. DA's Ian Cameron apologises to Shauwn Mkhize over 'wrong Vusi' claim after legal threat Democratic Alliance parliamentary police committee chair Ian Cameron has publicly apologised to Durban business tycoon Shauwn Mkhize, admitting he mistakenly named businessman Vusi 'Cat' Matlala over guns found on her property, while they belonged to businessman Vusi Xaba. To read on, click here. 'Mind-boggling' delay in R898 million driver's licence contract case Six months after the Department of Transport announced plans to approach the courts for a declaratory order on a controversial contract with French tech firm IDEMIA, the matter has yet to be heard. To read on, click here. Get your news on the go, click here to join the IOL News WhatsApp channel. IOL News
IOL News
09-07-2025
- Business
- IOL News
'Mind-boggling' delay in R898 million driver's licence contract case
Transport Minister Barbara Creecy has halted IDEMIA's contract, calling on the Auditor-General to review the procurement process Image: Ayanda Ndamane / Independent Newspapers Six months after the Department of Transport announced plans to approach the courts for a declaratory order on a controversial contract with French tech firm IDEMIA, the matter has yet to be heard. The R898 million contract, awarded to IDEMIA to supply equipment for printing South Africa's driver's licences, is in limbo. The deal came under scrutiny after a separate IDEMIA contract with Airports Company South Africa (ACSA) was cancelled following a dispute with its BEE partner, Infoverge. The fallout prompted Transport Minister Barbara Creecy to review the IDEMIA deal. The Auditor-General was called in, and the findings flagged significant procurement irregularities and non-compliance with key tender requirements. In response, Creecy halted IDEMIA's work pending the outcome of a legal challenge. 'It's mind-boggling that six months later, nothing has been done and the country is left to suffer,' said Organisation Undoing Tax Abuse (OUTA) CEO Wayne Duvenage. 'If the minister hadn't announced plans to go to court, we would have filed papers to have the IDEMIA contract overturned.' Transport spokesperson Collen Msibi confirmed the legal process is now moving forward. 'We finalised our court papers in the past two weeks and are ready to apply for a declaratory order,' said Msibi. A declaratory order is a legal ruling that clarifies the rights and obligations of parties in a dispute. This follows IDEMIA's warning that it would contest any attempt to cancel the contract. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad loading Asked what would happen if the court rules against IDEMIA, Msibi said contingency plans are in place. 'We have other service providers, and the Department of Home Affairs already has a printing facility we can use,' she said. Friederike Lyon, a France-based spokesperson for IDEMIA, said the company maintains it 'legitimately and lawfully' secured the tender and is willing to address concerns raised by the Auditor-General. 'IDEMIA has noted the Department of Transport's decision to seek a declaratory order. While some findings fall outside our scope, those relating to IDEMIA do not reflect the reality of our operations. We remain fully committed to working with the government to clarify any issues and ensure South Africans benefit from secure, advanced driver's licence solutions,' Lyon said. IOL News
