Hud­dle Park prop­erty sale ‘irregular’

Con­trary to the city’s sup­ply chain man­age­ment pol­icy and much be­low mar­ket value

The Star Early Edition - - COMPANIES - Roy Cokayne n

THE DIS­POSAL by the City of Jo­han­nes­burg (CoJ) of por­tions of a prime prop­erty in Hud­dle Park was al­legedly done con­trary to the city’s sup­ply chain man­age­ment pol­icy and sig­nif­i­cantly be­low mar­ket re­lated value.

This was one of the claims made by Bill Kirk, whose com­pany Associated Golf De­vel­op­ments as­sem­bled a con­sor­tium and submitted a bid for and on be­half of the Asi­bam­bane Con­sor­tium for the Hud­dle Park site.

The con­sor­tium lost the ten­der.

Kirk has lodged a R1.94 bil­lion civil dam­ages claim against the CoJ and laid crim­i­nal charges re­lated to the two trans­ac­tions.

Kirk claimed that if the prop­erty was sold for be­low mar­ket re­lated value, the CoJ was re­quired in terms of the Pref­er­en­tial Pro­cure­ment Pol­icy Frame­work Act to ob­tain the per­mis­sion of the Na­tional Trea­sury, which it failed to ob­tain.

He said the man­dated terms of ref­er­ence in the bid doc­u­ment stip­u­lated and de­fined the set of pa­ram­e­ters and cri­te­ria for the re­de­vel­op­ment, as rec­om­mended by the may­oral com­mit­tee.

Kirk al­leged the ad­ju­di­ca­tion panel ig­nored these pre­scribed de­vel­op­ment pa­ram­e­ters when eval­u­at­ing the ten­der and sub­se­quent award­ing of points in terms of the spec­i­fied cri­te­ria.

The orig­i­nal signed scor­ing ma­trix is miss­ing or lost, says Kirk.

Kirk claims that other ir­reg­u­lar­i­ties in the award of the first trans­ac­tion in­clude:

The re­quired dec­la­ra­tion was not signed or wit­nessed by a com­mis­sioner of oaths.

There was no proper con­for­ma­tion to any of the terms, con­di­tions or spec­i­fi­ca­tions of the pro­posal.

Many spec­i­fied doc­u­ments were omit­ted.

A neigh­bour­hood shop­ping cen­tre was in­cluded in the bid pro­posal when the bid doc­u­ment in­di­cated a pro­posal for an­other shop­ping cen­tre would not be sup­ported.

An eco-park/bird sanc­tu­ary was des­ig­nated as their “spe­cial place” val­ued at R25 mil­lion in­stead of the “Gold Reef City/Mel­rose Arch” type de­vel­op­ment en­vis­aged by the city.

The bid also only in­cluded an ex­clu­sive “golf es­tate” golf course on the prop­erty to be de­vel­oped while a non ne­go­tiable as­pect in the bid doc­u­ment spec­i­fied that “one golf course shall be up­graded and op­er­ated as a spe­cial­ity (pri­vate) course” and one golf course op­er­ated as a pub­lic course.

Kirk fur­ther al­leged CoJ of­fi­cials fraud­u­lently submitted doc­u­ments to the Pub­lic Pro­tec­tor in re­sponse to a re­quest for doc­u­ments in an at­tempt to cover up some of the mal­ad­min­is­tra­tion and ir­reg­u­lar­i­ties in the bid process and bid eval­u­a­tion.

PHOTO: ITUMELENG ENGLISH

Sales of­fice for The Neigh­bour­hood, an In­vestec mixed use prop­erty de­vel­op­ment at the Hud­dle Park golf course in Links­field, Jo­han­nes­burg.

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