President Jacob Zuma has signed a proclamation ordering the Special Investigating Unit (SIU) to probe the department of correctional services and the Independent Development Trust (IDT) for flouting procurement rules, his office said on Monday.
This follows the procurement of fencing and other security material from service providers who failed to deliver and the SIU will investigate allegations of serious maladministration, unlawful conduct on the part of State officials and unlawful expenditure of State resources.
It emerged last year that National Treasury had ordered the department of correctional services to cancel a contract worth R378-million for a new inmate management system with a company called Integriton, which is part of the Sasstec Group.
However, Zach Modise reportedly tried to defy the instruction from the office of the Chief Procurement Officer.
Sasstec has done extensive business with the State, and one of its subsidiaries, SA Fence and Gate, has donated funds to the African National Congress.
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