National Treasury Bans Bain & Co for 10 Years From Public Sector Contracts, SA Welcomes Ruling

• National Treasury has banned Bain & Co. from tendering for public sector contracts in South Africa for 10 years
• The Treasury is working with SARS to restrict the company and South African Directors through a phased approach
• Bain acknowledged “serious mistakes” in its work for SARS and denied that it “knowingly” participated in state capture

JOHANNESBURG - Bain & Co. has been banned by National Treasury from tendering for public sector contracts for 10 years. The ban is due to the global management consultancy firm’s engagement in corrupt and fraudulent practices related to a SA Revenue Service (SARS) contract.

National Treasury said the restriction would apply to any contract for services awarded to Bain & Co in the public sector. The Treasury is working with SARS to restrict the company and South African Directors through a phased approach.

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According to News24, the ban came after the United Kingdom government restricted it from competing for state contracts for three years.

The company has acknowledged “serious mistakes” in its work for SARS and denied that its representatives “knowingly” participated in state capture. President of the United States Joe Biden is also being urged to ban the firm.

Labour peer Peter Hain wrote a letter to Biden saying that the company’s US-based managing partner, Manny Maceda, underplays the actions that caused South Africans to suffer crippling inequality and poverty.

According to the letter that The Guardian saw, Hain said citizens were left in a worse state due to industrial-scale looting and cronyism during former President Jacob Zuma’s rule in Bain was complicit.

SA reacts to the ban:

@thiathumanenzhe said:

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“Took them long enough.”

@LeshNkoana wrote:

“Shouldn’t this be a lifetime ban? What will stop them from doing this again once the ban is over?”

@ced_shab commented:

“Zondo Commission’s first bite. Bain & Co.”

@MotsohiThabang added:

“If I had funds, I would buy all who agreed to this epic decision and very good bottle of wine each. This is unbelievable. Our efforts have not been made in vain.”

Bain & Co banned by UK government over SARS fraud, company says it is “disappointed” by ruling

In a related matter, Briefly News also reported The UK government has banned international management firm Bain & Co. for its involvement in fraud and corruption in the South African Revenue Service.

As a result, the company will not be granted any contracts in the UK for the next three years from January.

UK Cabinet Office Minister Jacob Rees-Mogg said the company’s integrity was now questionable. He believes that the tarnished reputation will be repaired after three years.

Source: Briefly News