Issue Date: 
Monday, November 9, 2015

Tenders and Fraudulent Documents

Last week we attended a briefing session of the National Department of Health. These briefing sessions are always interesting, specifically those requesting the supply of pharmaceutical products. These products are very specialized and only companies with the correct credentials can actually respond to these tenders. What this mean is that if you are not in the pharmaceutical industry and you do not have the correct licensing for your products then you are wasting your time attending the briefing session and responding to the tender.

Now this is where the challenge starts. Just like with any other tender there are certain documents that you need to submit with your tender. For example Tax Clearances and B-BBEE certificates. But together with these documents there are other compulsory documents such as a License to manufacture medicines and a Medicines Registration certificate. One might think that these documents would be standard issue for these companies and would all be genuine but that is not always the case.

We were surprised to hear from the National Department of Health that companies submit fraudulent documents and worst of all is that these documents are industry specific and if pharmaceutical companies are willing to commit fraud in order to win a tender. Makes you wonder what else they guilty of?

But the lesson that we all need to take away from this briefing session is that no matter what you tender for, ensure that your compulsory documents are the originals, or certified copies of the real document. Government will validate your compulsory documents and if you have submitted a fraudulent certificate you will be exposed. Once you have been exposed and found guilty your tender days have ended.

The Government is fully aware of fraud and has become very strict regarding fraud and corruption in the tender environment. And that is good for South Africa as well as for all the companies that respond to tenders.

Learn today earn tomorrow

www.how2tender.com

When Must I Sub-Contract?

There seems to be a lot of confusion amongst entrepreneurs when it comes to tenders and sub-contracting. The Draft Preferential Procurement Regulations, have been gazetted and are currently up for review. However, these Regulations are the major cause for the confusion. Many entrepreneurs ask whether they should sub-contract or not whilst responding to a tender.

The Draft Preferential Procurement Regulations stipulates the following: 

  1. For contracts above R30 million, the tenderer MUST sub-contract a minimum of 30% of the value of the... Read More
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