A report and update to the DCS Portfolio Committee on a recent lockout of the DCS from

a leased building in Johannesburg.

Presentation to Portfolio Committee on Correctional Services.

12 September 2012

PURPOSE OF THE PRESENTATION:

To update the DCS Portfolio Committee with information and the status quo of a recent lockout of the DCS from a leased building in Johannesburg.

DCS OFFICE LOCK-OUT:

• DPW procured 1636m² of office space at DCS’s request in November 2006 for a period of 5years. The landlord is NUMPROP (Pty) Ltd.

• Following occupation of the building (i.e. Traduna Building, Frederick Street, Johannesburg), officials from DCS took occupation of additional 404m² of office space without the knowledge and consent of DPW.

DCS OFFICE LOCK-OUT:

• Upon discovery of this anomaly, DCS was advised to vacate the unauthorised space but did not do so.

• As a result, the Landlord issued summons against DPW for payment of arrears in respect of the additional space.

• Legal Counsel and State Attorney opined that DPW must settle the claim out of court and seek reimbursement from DCS. This legal advice was forwarded to DCS.

• During December 2009, it is believed that DCS instituted an investigation into this matter, but details are unknown to DPW.

DCS OFFICE LOCK-OUT:

• On 11 June 2012 DPW requested DCS to look into the matter and advise on the claim by the Landlord.

• Following a lock-out in early August 2012, both departments met on 3 September 2012, and agreed to resolve this matter expeditiously through payment of the Landlord by DPW, and DCS would reimburse DPW.

• On 5 September 2012 the money owed was paid to the Landlord’s bank account and the Landlord through the Attorneys confirmed receipt of the funds.

DCS OFFICE LOCK-OUT:

• On 06 September 2012, the offices were re-opened for DCS Officials.

• By 10 September 2012, DCS was in occupation of only the basement, ground floor, first floor and second floor as per the terms of the original lease.

• DPW has acted on instruction from DCS and will be procuring a new lease moving forward to address the current month-to-month standing of the existing lease.

THANK YOU