NEWS & ANALYSIS

Home Affairs contract with Bosasa should be cancelled – James Lorimer

DA MP says company has benefited from massive govt contracts

The Home Affairs contract with Bosasa should be cancelled

17 January 2019

The Democratic Alliance can reveal that in 2005, Bosasa received a R1 billion contract to manage the Lindela Repatriation facility which houses detained illegal immigrants. This contract was renewed for a further five-year period for an additional R500 million.

This was confirmed in a reply to a DA Parliamentary Question from the Department of Home Affairs.

Bosasa CEO Gavin Watson came into the spotlight last year when DA Leader Mmusi Maimane forced President Cyril Ramaphosa to disclose a dodgy R500 000 donation to his campaign to become ANC President through his son, Andile Ramaphosa.

Furthermore, an affidavit by an auditor of the South African Revenue Service, Petrus Stephanus Venter, includes allegations and supporting documentation showing that Bosasa CEO Gavin Watson built two residential houses for his children and had the costs unlawfully recorded as purchases related to the renovation of the Lindela Repatriation Facility.

Bosasa has benefitted from massive government contracts and its CEO has apparently unlawfully benefitted himself from funds earmarked for a critical national function within our immigration system.

The cost of this Bosasa looting has been paid by immigrants detained in inhumane and undignified conditions at Lindela.

The DA will continue to draw attention to the true cost of decades of ANC corruption – human lives, human dignity and human rights.

In light of the revelations about the conduct of Mr Watson in relation to state resources, as well as the explosive testimony by former Bosasa COO, Angelo Agrizzi, before the Zondo Commission, the government must immediately give instructions for the Bosasa contract to be cancelled, that all funds already paid be recovered, and that all Bosasa contracts be advertised for new bids in a transparent, public process.

The failure of the President to ensure that swift action is taken will prove what the DA has always maintained – the ANC of Ramaphosa is no different to that of Zuma. A vote for the ANC is a mere replacement of the Guptas with the Watsons.

Text of reply:

QUESTION FOR WRITTEN REPLY

QUESTION NO. 3749

DATE OF PUBLICATION: FRIDAY, 30 NOVEMBER 2018

INTERNAL QUESTION PAPER 44 OF 2018

3749.   Mr M H Hoosen (DA) to ask the Minister of Home Affairs:

What is the total amount paid by his department to certain companies (names furnished) in each financial year since it entered into contracts with the companies? NW4325E

REPLY:

The total amount paid to Leading Prospect Trading 111 (Pty) Ltd, a wholly owned subsidiary of Bosasa Operations (Pty) Ltd trading as Lindela since 2004 to date (November 2018) is R1 371 007 .561.75. The amount paid per financial year is set out in the table below:

SUMMARY OF PAYMENTS TO LEADING PROSPECT

Mar-04

52 706 973.26

Mar-05

73 746 580.28

Mar-06

79 980 978.88

Mar-07

86 835 320.00

Mar-08

102 013 187.37

Mar-09

94 880 670.63

Mar-10

83 161 435.50

Mar-11

83 161 435.50

Mar-12

98 282 096.50

Mar-13

83 161 435.50

Mar-14

90 721 566.00

Mar-15

100 329 156.90

Mar-16

 

106 867 484.31

Mar-17

109 692 967.80

Mar-18

113 213 584.30

Nov-18

64 959 662.28

 

1 371 007 561.75

Issued by Parliament, 17 January 2019

ENDS

Issued by James LorimerDA Shadow Minister of Mineral Resources, 17 January 2019