A CONTRACT between Portnet and M-Power Loss Control Services and Consultancy CC came to an end this week amidst accusations of conspiracy and double dealings.
This followed raids by the Police Anti-Corruption unit on the premises of M-Power and on several Durban police stations to recover sensitive material and documents relating to telephone tapping of Portnet offices.
The irregular use of listening devices by three policemen allegedly acting on behalf of M-Power was
also being investigated.
In a statement to FTW this week Portnet said that M-Power had approached it earlier this year claiming to have evidence of fraud and other criminal activity targeting Portnet. As a result Portnet appointed M-Power in March this year. Shortly afterwards however, Portnet became suspicious and appointed another firm of investigators with a brief
to determine whether M-Power was acting lawfully. At the same time Portnet also approached the SAPS Anti Fraud Unit for assistance.
In an understating of these facts, Portnet said that the raid on M-Power's premises on 11 June and the two police stations were a result of these actions. Immediately after the raid M-Power brought an urgent application to the High Court to have seized material returned, which was granted with a return date for the application set at 25 June.
The fixed-term contract with M-Power was due to end on 30 June, and Portnet now says it does not intend renewing. According to Portnet, M-Power, in terms of the performance based contract, was to receive payment only on providing proof of illegal activities in the ports. "They told us things we knew to be true and things we suspected," said Rob Childs.
Since then Portnet has paid out a total of R160 000 for large amounts of information, which it says contained very little hard evidence. About six weeks into their contract Portnet therefore decided to employ another firm of investigators, whom they have declined to identify.
By Terry Hutson
Copyright Now Media (Pty) Ltd
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