Faculty of Commerce, Law and Management (ETDs)

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Browsing Faculty of Commerce, Law and Management (ETDs) by Author "Aikins,Nana"

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    Analysing state capture through public procurement weaknesses in South Africa
    (University of the Witwatersrand, Johannesburg, 2023) Aikins,Nana; Lynge, Halfdan
    This research report reviews and analyses the procurement system in South Africa concerning the legislative and institutional frameworks that govern state owned enterprises (SOEs). This study aims to assess the system's flaws and inherent weaknesses and highlight how these pitfalls have ultimately aided the phenomenon of state capture. It is a constitutional requirement that when organs of the state contract for goods and services, they do so in a fair, equitable, transparent, competitive and cost-effective manner. When a public organisation is captured by private interests, it loses its autonomy to act in the furtherance of public welfare, which manifests in its inability to contract competitively, achieving low prices and high quality. A postulation is made in this study that public procurement personnel lack the integrity and personal will to resist collusive behaviour and do not have the institutional strength to detect and withstand corrupt dealings that contribute towards state capture. Following the publication of the State Capture report by the Public Protector of South Africa in 2016, the concept has gained significant political momentum. However, despite this development, there has been a notable lack of academic research on the phenomena, particularly regarding its connection to public procurement. This research aims to fill this gap. This study draws most of its data from the transcripts of the hearings conducted by the Judicial Commission of Inquiry into State Capture. Through a qualitative explanatory case study approach, using thematic analysis, the study sought to understand the patterns of abuse that occur at each stage of the procurement cycle and what factors contributed to these transgressions. The findings of the study identified challenges associated with lack of capacity, non-compliance with legal policies, bid-rigging and collusive behaviour, and political interference