Controversy over R40 funds

nelspruit - what seems like the possible embezzlement of united nations funds, allocated to the mbombela municipality for a 2010 transport project, is currently under investigation.
in february 2008, the united nations development programme (undp) made us$11 million available for the implementation of transport systems in seven 2010 host cities.
in nelspruit, us$990 00 was allocated to implement a high occupancy vehicle (hov) lane on the r40.
the contract to provide the marketing and awareness campaign for the lane was awarded to a local media company in february 2009.
in this company's proposal documents, now in lowvelder's possession, an elaborate media campaign, involving ludicrously inflated prices is outlined. yet today, a year later, the residents of mbombela is not any the wiser when it comes to hov lanes, and no accountability of the appropriation of funds has been provided as yet.
instances of inflated prices include the production of media information packs to the amount of r155 000, a professional management fee of r51 550 and promotional material for r106 246.
the aims of the project, as stated in the proposal were to create awareness of the
r40 hov lane to create fair traffic flow during construction and to keep accidents to zero rate - objectives evidently not met.
this would have been achieved by weekly newspaper updates, distribution of leaflets, and marketing and info briefs to all road users.
the undp confirmed that an amount of r297 000 has already been paid out to the contractor in august and september last year for media coordination, professional management fees and signage.
according to mr david ingham of the undp, invoices by the contractor was certified by the mbombela municipality as correct and payment requested.
"the responsibility remains 100 per cent with mbombela to make sure that the product or service was delivered, before requesting funds," he said.
ingham also confirmed that he had received progress reports along with the invoices.
communications manager of the mbombela municipality,
mr joseph ngala, however confirmed that he was not aware of the execution of any such media campaign to date and ordered an investigation into the matter.
when lowvelder contacted the contractor in question, he stated that he would forward us the relevant progress reports and answer our questions via email, but failed to do so.
he never returned any further calls, and it was later established that he contacted ngala to assist him with answering our questions and provide him with the relevant progress reports.
what's more was the fraudulent inclusion of an expert media consultant's name and skills in the bid document, without his knowledge, in order to secure the bid.
according to this consultant* he was only made aware of his inclusion in the bid document in november 2009, after he was contacted by stakeholders who were unhappy with the lack of progress, thinking he was a key resource on the project.
he immediately contacted the office of the mayor of mbombela and opened a case of fraud with the saps.
"the most significant concerns directly relating to me are that of being professionally associated with the deeply-flawed tactical plan and extravagant budget presented in the bid document, and to be associated with a poorly performing contract," he stated later.
he furthermore alleges that the contractor copied his working credentials and specialisation areas verbatim to reflect as his own, resulting in gross misrepresentation in the bid.
the investigation continues.

desireé rorke