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Cipro heading for parliament

Apr 11 2010 08:53 Jana Marais

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Johannesburg - Details of a controversial tender worth R153m for a new electronic content-management system for the beleaguered Cipro (Companies and Intellectual Property Registration Office) will soon be aired in parliament, the auditor-general and trade and industry department have said.

The tender, awarded to the unknown company VALORit despite it being almost R90m more than that of the JSE-listed Faritec, has been investigated by the auditor-general and an independent forensic team.

Auditor-general spokesperson Africa Boso said his institution's report on the awarding of the tender will reach parliament next week, and will follow all the standard procedures for tabling.

Minister of Trade & Industry Rob Davies said in a statement that he was busy obtaining advice on the findings contained in the forensic investigation team's report.

Davies appealed to the staff and management of Cipro to approach him with any further information they might have about allegations of corruption at the institution, and promised to protect informers.

It is alleged that Michael Twum-Darko, the suspended Cipro head of information, influenced the process to get the tender awarded to VALORit.

Cipro CEO, Keith Sendwe, who has been on indefinite sick leave, is also implicated in the allegations.

Despite the massive price difference and the alleged irregularities, the tender was also endorsed by Tshediso Motana, director-general of Trade & Industry.

Defective information technology infrastructure at Cipro has in recent months led to massive holdups for clients who have struggled to execute even basic functions. There are fears that

VALORit's deficient experience means that the pricey new electronic system won't resolve the problems.

Davies has again committed himself to root out any form of corruption within Cipro. A South African Police Service investigation into various allegations of corruption at Cipro is ongoing, Davies observed.

- Sake24.com

For business news in Afrikaans, go to Sake24.com.

 
 
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General purpose financial reports are designed to show the value of a reporting entity The Conceptual Framework for Financial Reporting (2010), paragraph OB7 states: ‘General purpose financial reports are not designed to show the value of a reporting entity.’ A reporting entity´s value can be one o... Read their blog...

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