- Five companies shortlisted for the P256m turkey tender projects - Some of the selected companies have no track record of previous projects - Masisi urged to reverse the selective tender process - PSP implicated in the controversial award - Write what you want - PSP -The target is my wife- Peloetletse

Joe Peloetletse - husband to Permanent Secretary to the President (PSP), Emma, has defended his wife and company - Legacy Pursuit (PTY) Ltd - from accusations of impropriety in the award of a controversial P256 million tender.

The tender is for the construction of 28 police stations across the country. Peloetletse’s response comes after the President, Mokgweetsi Masisi was petitioned to intervene in the controversial tender.

The petitioner requests President Masisi to initiate an independent and comprehensive investigation into the procurement decisions related to the construction of 28 police stations; take appropriate measures to rectify any potential lapses in the procurement process and hold those responsible for any wrongdoing accountable; and consider reversing the restricted tender and instead initiate an open and competitive tender process to ensure transparency and fairness in awarding these contracts.

The complaint which has been raised before with the Ministry of Defence and Justice and Directorate on Corruption and Economic Crime (DCEC) centres around selective procurement of companies instead of an open tender bidding.

It is argued that the decision by the Ministry and Botswana Police to opt for selective tender bidding violates procurement laws of Botswana.

The matter has now been brought to the attention of the president as “a matter of grave concern regarding the procurement decision related to the construction of 28 police stations for the Botswana Police Service.”

This initiative, within the framework of the Transition National Development Plan (TNDP), is allocated a substantial budget of P256 million under Tender DS/POL 033/ 23-24 WORKS Proposed Development of 28 New Police Stations and Houses Across the Country on Turn Key Model for Botswana Police Service.

According to the petition seen by Botswana Guardian dated 19th October 2023 addressed to Masisi and Permanent Secretary to the President (PSP) Emma Peloetletse, the petitioner states that it has come to his knowledge that the procurement process for these police stations’ construction projects was carried out through restricted selective tendering, and believes that this approach raises significant issues of transparency and

fairness.

He revealed that the tendering process, approved by the Permanent Secretary on 17 May 2023, resulted in the selection of only nine companies to undertake these critical projects.

These companies include Legacy Pursuit (Pty) Ltd, Projects (Botswana) (Pty) Ltd, Messidor Investments (Pty) Ltd, Home Safe Properties (Pty) Ltd, K-Hill Proprietary Limited, Unik Construction Engineering (Pty) Ltd, B.R Proprietary Limited, Maruping Real Estate Services Properties, and Riberry Proprietary Limited.

“My primary concern is that the use of restricted tendering for a project of this magnitude, without clear justification for such an approach, is unethical and in violation of established regulations.

“Regulation 16 explicitly states that restricted bidding may only be employed when the relevant works, services, or supplies are only available from a limited group of providers or when exceptional circumstances warrant a departure from customary open domestic bidding.

“The absence of exceptional circumstances and the restrictive selection of participants raise serious questions about the fairness and legality of these procurement decisions.”

A tender opening document- Two Envelope dated 10 October 2023 that Botswana Guardian has in its possession, shows submissions from Homedsafe Properties, Unik Construction Engineering (Pty) Ltd, K-Hill Construction, Legacy Pursuit and Ribbery/Tredinnik Pty Joint Venture & Last.

Officers who were present are Lesedi Mogobe (Chair), Stella Ngebani (records), Karabo Letsholo (member), Gobe Pilot (member) and Moagi Mutlwa (member).

It is argued in the petition that there are alarming discrepancies regarding the qualifications and experience of some of the selected companies.

For example, the petitioner says Legacy Pursuit (Pty) Ltd, incorporated just one month prior to the tender's approval, lacks a substantial track record for a project of this scale; Messidor Investments (Pty) Ltd is not even registered with the Public Procurement and Asset Disposal Board (PPADB) and has no prior history of working with the government; additionally, Maruping Real Estate Services Properties and Riberry Proprietary Limited are property management companies rather than construction firms.

A concern has been raised about the disconnect between President Masisi's rhetoric on economic empowerment and the reality on the ground, where it is often the same elites who are the primary beneficiaries of government contracts and initiatives.

The petitioner indicated that while economic empowerment should aim to uplift the broader population, it is sad to observe a pattern where a select few consistently reap the rewards.

This, he said, raises legitimate questions about the “sincerity of your commitment to genuine economic empowerment that benefits all citizens”.

He said moreover, it is disconcerting that the highest civil servant, the Permanent Secretary to President (PSP), who is expected to champion transparency and uphold the highest ethical standards, appears to be involved in transactions that may lack transparency and fairness.

“Her husband is a beneficial shareholder of Legacy Pursuit. The role of the PSP is crucial in ensuring that public resources are allocated justly and that the interests of all citizens are protected.

“Any perception of their involvement in crony deals is not only detrimental to their office's reputation but also undermines the public's trust in government institutions,” the petitioner said.

Asked to respond to these accusations, the PSP, Emma Peloetletse told this reporter, “just go ahead and write what you want.” The petitioner alleged that, Legacy Pursuit, a company in which the PSP’s husband is “a beneficiary”, was selected despite being “relatively new to the industry”, the petitioner said, adding that it is worth noting that the selection of Legacy Pursuit came ahead of 310 other Grade E companies.

“Many of these established companies have been operating in the industry for several years, making significant contributions to our economy. They have not only employed a substantial number of citizens but also invested in their training and development.

“Additionally, these companies have consistently contributed billions in tax revenue over time. Despite their track record, these companies found themselves passed over in favour of PSP husband's company, which had only been in operation for a mere month, along with several other property- management firms, which have no experience and equipment for construction.”

According to the petition, for a construction job of this magnitude, it should have been a Works 01 Building Construction Works and Maintenance Grade E project.

This new development is said to be an intentional strategy to allow Legacy Pursuit to compete in the tender, because a shelf company can never be given Works 01 Building Construction Works and Maintenance Grade E by Public Procurement Regulatory Authority (PPRA), this critical requirement was excluded from the tender.

“Rather the tenders’ evaluation criteria centred around Services Code 316- Real Estate Services and Project Management. This is highly embarrassing and shameful.

“Does this mean all construction projects in the future will require Real Estate Services and Project Management and there is no need for companies to have experiences, plant, equipment, machines, engineers, vehicles in order to qualify for Works 01 Building Construction Works and Maintenance Grade E certification.”

Legacy Pursuit is a consortium of Batswana companies. The PSP’s husband- Joseph Peloetletse owns Joe’s Electrical Contractors, which was established in 1989, and now forms part of the consortium.

In a letter written to Legacy Pursuit (Pty) Ltd by the Botswana Police Service Commissioner’s office, the police indicate that the company has been shortlisted and is invited to participate in the tender process: Proposed

Development of 28NO. New Police Stations and Staff Houses across the country on Turnkey Model for Botswana Police Service (BPS)- Tender NO:DS/POL/033/2023-2024/Works. The company was urged to collect the tender document at BPS Headquarters on the 14th August 2023.

Joseph Peloetletse told this publication that the companies involved in the consortium boast experience in various fields. He said Joe’s Electrical has existed for a long time and that he formed the company when he was only 26 years old.

“My company has never closed shop and I have always paid my taxes without fail. I even pay my withholding tax with Botswana Power Corporation. I have over 30 years in the field and have done projects worth P3 million. I have hired qualified engineers both foreigners and citizens. My wage bill is around P400 000 monthly and I have never failed my employees,” Peloetletse said.

He confirmed that indeed Legacy Pursuit was formed in February this year. He said this was after they had an engagement as local contractors and decided to form a consortium like foreign companies do. He said this was because they wanted to benefit from projects such as Turn Keys. He revealed that through his company he has electrified 100 villages.

“Why is a consortium foreign to our people? People need to be educated on this which is more or less the same as Joint Ventures. The companies that form the consortium have vast experience. Maybe their complaint is LandMark Pty Ltd which is part of the consortium but is Chinese-owned but the company has done projects worth more than P2 billion in this country,” he said.

According to Peloetletse in this controversial project his company, Joe Electrical, will only benefit 10 percent. “The target is my wife. She just came into their office recently. Why should I dump something I have known and done for so many years just because my wife is in high office? You want me to go grow water melons, something, I know nothing about,” he asked. Meanwhile President Masisi had not responded to our enquiries sent through the presidential press team.