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SAP ordered to pay back millions!

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SIU spokesman Kaizer Kganyago said in March 2022, the Special Tribunal ordered SAP to repay the department R413 million. Pic by Jan Right
SIU spokesman Kaizer Kganyago said in March 2022, the Special Tribunal ordered SAP to repay the department R413 million. Pic by Jan Right

THE Special Investigating Unit (SIU) has welcomed the Special Tribunal order for the Systems Applications Products (SAP) to payback the Department of Water and Sanitation (DWS) more than R81 million.

SIU spokesman Kaizer Kganyago said in March 2022, the Special Tribunal ordered SAP to repay the department R413 million, which is the total amount paid by the department to SAP between 2015 and 2016 for software licence and support contracts.

He said the value of the contract was over a billion rand.

“However, SAP disputed an amount of R83 million for third party costs it incurred. In a new order dated 29 September 2022, the Special Tribunal ruled that SAP pays DWS the full outstanding amount in the sum of R81 502 073,62 within five days after the court order.”

The Special Tribunal ruling comes after SIU investigations revealed that the contracts between the department and SAP were irregular and unlawful.

“The SIU is empowered by the Special Investigating Units and Special Tribunals Act 74 of 1996 to institute civil action in the Special Tribunal or the High Court to correct any wrongdoing it uncovers in its investigation,” said Kganyago.

He said: “Where evidence points to a criminal conduct, the SIU refers the evidence to the National Prosecuting Authority for further action.”

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