On the 01stof February 2022, Ms Mavis Dube (Ms Dube) was appointed to the position of Procurement

Fantastic news! We've Found the answer you've been seeking!

Question:

On the 01stof February 2022, Ms Mavis Dube (Ms Dube) was appointed to the position of Procurement Manager at Itsoseng Local Municipality in Northwest Province of South Africa following the resignation of his predecessor Mr Bethuel Nkomo (Mr Nkomo).

Two (2) months after her appointment, Ms Dube begun to review all tenders awarded by the ItsosengLocal Municipality to service providers during Mr Nkomo's tenure. Upon reviewingthose tenders, she noticed that the Municipality has awarded a tender to Leballo Constructions and Projects CC (a company that is always doing business with the Municipality and owned by one of hispollical rival's cousin -Leornard Mpura) to build 200 RDP houses in the district of Lefare District Municipality in the Northwest. Ms Dube decides to cancel the preceding tender for unknow reasons. The notice was published on Tender Notice 06 of 2023. Ms Dube was exercising her powers as enshrined in Regulation 13(c) of the Municipal Finance Management Act of 2003 which states that1:

"Organs of states are entitled to terminate the procurement contracts if they found that there were or are irregularities during the procurement processes and or the procurement contracts have been concluded in contravention of the applicable legislation".

Following the cancellation of the tender, Ms Dube appoints Batho Pele Consulting (Pty) Ltd to complete the work. Mr Mpura decides to confront Ms Dube about her decision to cancel the tender and demands reasons for her decision. Ms Dube's reason wasthat she was exercising her discretionary powers as a Procurement Manager of the Municipality, and she has the powers to do so.

1NB: This is a hypothetical subordinate legislation and does not reflect to correct version of the original legislation.

Answer the following questions and substantiate your answers with reference to relevant legislation and case law where applicable.

Question 1

1.1Discuss the meaning of an Organ of State as defined in the Constitution of South Africa, 1996. Support your answer with reference from the relevant legislation.[5]

1.2Considering the above facts, list the requirements for just administrative action.[6]

1.3Kindly advise on what authoritative sources of law from an Administrative Law perspective could Leballo Constructions and Projects CC rely on in support of its case, if the company aims to challenge the decision of the Procurement Manager.[7]

1.4Assume that no reasons were given by the Procurement Manager to Leballo Constructions and Projects CC for the cancellation of its contract, what remedy is available to Leballo Constructions and Projects CC if it is not satisfied with the lack of reasons provided by the Procurement Manager? Answer the preceding question in terms of the relevant provision(s) of PAJA.[7]

TOTAL MARKS {25}