The newly investituted Mayor of Tshwane, Stevens Mokgalapa, has announced that the city has terminated the scandal ridden GladAfrica contract.
Glad Africa, founded by Neol Mashaba, is the consultancy firm that is at the center of an irregular multi-million rand contract with the City of Tshwane.
Neol Mashaba has a history in the establishment of businesses within the petroleum industry, in 2002 in Midrand, Johannesburg.
Mayor Mokgalapa made the announcement at a media briefing in Pretoria early on Monday morning.
The mayor said the contract was terminated by mutual agreement.
The Auditor-General found the controversial contract wasn’t above board and cost the city R1.7-billion in irregular expenditure.
Mokgalapa had said the GladAfrica tender scandal has tainted the Democratic Alliance’s clean governance image.
It has also caused friction between his predecessor Solly Msimanga and city manager Moeketsi Mosola.
The AG report found Mosola irregularly appointed GladAfrica to manage the city’s infrastructure projects but Msimanga’s attempts to fire Mosola for flouting tender processes failed.
Mosola hit back, accusing Msimanga of political bullying vowing to fight tooth and nail for his job.
The GladAfrica Group currently consists of four operating entities which deliver services in the built environment including; Consulting Engineers, Project Managers, Environment and Investments.
Glad Africa operates all over South Africa and has a long list of clients in a range of industries, including First National Bank, Eskom, Woolworths, Transnet and Telkom.