AG opens probe into transport department digital-contract allegations

According to The Citizen, the Auditor‑General of South Africa (AG) has opened an audit into the department of transport after a protected disclosure by a senior departmental official alleging procurement and governance failings linked to a digital communications contract.

What triggered the audit

According to The Citizen, a protected disclosure from a senior official prompted the AG to assess allegations including procurement irregularities and supplier integrity risks relating to digital content and live‑streaming services.

According to The Citizen, the disclosure also raised concerns about legal expenditure, expenditure classification and consequence management following internal findings.

Scope and legal basis for the AG’s work

According to The Citizen, AG business unit leader Corné Myburgh, in a letter dated 25 June, confirmed that the assessed allegations fall within the AG’s constitutional audit mandate and that procurement‑related matters will be audited.

According to The Citizen, Myburgh said a regularity audit is different from a forensic investigation and that, on that basis, a separate forensic probe was not recommended at this stage.

“Based on the assessment performed, the allegations fall within the AG’s audit mandate,” Myburgh wrote.

How the audit will proceed

According to The Citizen, the AG will deploy a multidisciplinary team composed of regularity audit and investigation specialists to carry out the audit.

According to The Citizen, should material findings emerge they will first be communicated to departmental management for response and, if unresolved, could be included in the department’s published audit report when the annual report is tabled in parliament.

According to The Citizen, Myburgh drew a distinction between procurement allegations and employment complaints, saying matters such as occupational detriment and whistle‑blower retaliation fall outside the AG’s statutory mandate, though related governance concerns may inform the audit.

Allegations about the digital contract and Tigere Media’s response

According to The Citizen, The Citizen previously reported allegations that a multimillion‑rand digital communications and streaming services contract was awarded without an open tender process.

According to The Citizen, the department has allegedly paid more than R10 million to Tigere Media through successive requests for quotations (RFQs) since 2023, with payments reportedly kept below the R500 000 threshold that would ordinarily trigger an open tender.

According to The Citizen, Tigere Media director Archie Tigere confirmed his company has provided services to the department since 2023 but disputed the R10 million figure, saying the company received between R1.2 million and R1.5 million per annum.

“Tigere Creatives responds to RFQs received from clients by submitting quotations and technical proposals where applicable. We are occasionally successful and occasionally unsuccessful in those submissions. The evaluation and award of quotations is the responsibility of the relevant procurement and supply chain management structures within the client organisation. We are not involved in those internal processes,” Tigere said.

According to The Citizen, Tigere denied allegations that contracts were split or that the company was involved in choosing procurement methods, saying they respond to individual RFQs as issued.

Next steps and potential outcomes

According to The Citizen, the AG’s multidisciplinary audit team will assess the procurement and governance matters. Any unresolved material findings may be reflected in the transport department’s audit report when it tables its annual report in parliament.