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EOH to pay back over R40m to Department of Defence

defenceWeb Written by SANews - 56 The Special Investigating Unit (SIU) has uncovered irregularities of more than R40 million in the Microsoft software licences procurement contracts awarded by the Department of Defence (DoD) to EOH. These irregularities relate to the procurement process and the overpricing of R250 million Microsoft licences contracts. The SIU found that the contract entered into was irregular. The SIU has conducted an intensive investigation, which revealed the procurement irregularities and overpricing by EOH arising from the 2016 and 2017 procurement of Microsoft licenses. “With specific reference to the overpricing of the Microsoft licenses, EOH was confronted and acknowledged the said overpricing. EOH agreed to sign an acknowledgement of debt (AoD) and has since signed an AoD with the SIU to the value of R41 676 493.92, which is to be paid back to the DoD,” the SIU said on Wednesday.

Corruption Latest: JSE listed firm to pay back the money

A JSE listed IT firm has agreed to “pay back the money” it received from the Department of Defence after it overpriced Microsoft Software Licenses to the tune of R40 million. Special Investigating Unit (SIU) spokesperson, Kaizer Kganyago, said investigations into R250 million Microsoft Software Licences procurement contracts awarded by the Department of Defence (DoD) to EOH had uncovered “irregularities relating to the procurement process and overpricing of Microsoft Licenses amounting to more than R40 million”. Approached for comment, an EOH spokesperson told The South African on Thursday evening that it would release a formal SENS announcement regarding the SIU statement to all media on Friday morning.

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