DA reports Gauteng Government’s dodgy R5.5 million tender to Public Protector

Issued by Kingsol Chabalala MPL – DA Gauteng Shadow MEC for Sports, Arts, Culture and Recreation (SACR)
10 Apr 2025 in Press Statements

Note to editors: Please find attached English soundbite by Kingsol Chabalala MPL.

The Democratic Alliance (DA) in Gauteng has asked the Public Protector to look into a R5.5 million tender given by the Gauteng Provincial Government (GPG) to Xaba Holdings, a company from East London. This is despite the tender clearly stating that only Gauteng-based companies could apply and that projects must take place in Gauteng.

According to Gauteng MEC for Sports, Arts, Culture and Recreation (SACR), Matome Chiloane, Xaba Holdings received R3.5 million to arrange a boxing tournament in the 2023/24 financial year and another R2 million in 2024 to host a boxing event celebrating Madiba as a boxer.

See the replies and tender advertisement here, here and here.

The DA suspects a violation of tender requirements, potentially compromising the fairness and integrity of the procurement process. Additionally, we believe that awarding this tender to a company outside of Gauteng may have denied local businesses the opportunity they deserved.

We urge the Public Protector to investigate why Xaba Holdings awarded the tender despite not meeting the requirements, why local companies who meet the requirements were overlooked and clarification on whether fair and transparent procurement procedures were followed.

In his recent State of the Province Address, Premier Panyaza Lesufi promised to create opportunities for young people and small businesses, however, this dodgy tender suggests that his government is doing the opposite.

A DA Gauteng provincial government would ensure that tenders intended for local businesses are not redirected to other provinces where they cannot benefit Gauteng companies and residents.