Business Day
*Madonsela calls halt to Malema tenders* *Sam Mkokeli, Business Day, 9 November 2011 *PUBLIC Protector Thuli Madonsela has instructed the Limpopo government to suspend contracts awarded to On Point Engineering, a company linked to African National Congress (ANC) Youth League president Julius Malema.
Mr Malema's disciplinary hearing, brought by the ANC, came after allegations that he received commissions for facilitating state contracts in Limpopo.
The allegations are being investigated by the Hawks unit, and Mr Malema's finances and tax affairs are believed to be under scrutiny by the taxman.
Ms Madonsela is also investigating how the contracts were awarded to companies linked to Mr Malema.
She said yesterday her office had instructed Limpopo's health and transport departments to suspend contracts awarded to On Point Engineering.
Mr Malema's family trust is a shareholder in On Point, which has received multimillion-rand contracts from the Limpopo government. It has subcontracted work to other companies.
Ms Madonsela said her investigators had created a "web of who is related to whom" in trying to piece together the companies and individuals associated with On Point. She had asked for a temporary cessation of the contracts as a precautionary measure.
"We should have done that from day one (of the investigation). The reason we didn't do it immediately is because me and my team were busy with other investigations," Ms Madonsela said.
Her instruction was intended to minimise risk and avoid a situation where the contracts would need to be reversed when their implementation was advanced.
She said the constitution empowered her to intervene in the management of disputes in the government's work.
"I am not saying it's a permanent solution. It's just to make sure implementation is not far down the line should the findings require a reversal," she said.
Mr Malema will know the outcome of his disciplinary hearing tomorrow. Committee chairman Derek Hanekom said last night they were finalising their work and were keen to wrap up this week.
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