Court dismisses tender review bid over Rundu prepaid meter contract
The Windhoek High Court has dismissed a review application by Netvend Metering Solutions, which challenged the Rundu Town Council's award of a N$3 million contract to Lwayaha Trading for the supply and installation of prepaid water meters.
In a judgment delivered on Friday, the court ruled that Netvend's application lacked merit and failed to follow proper legal procedures.
The company, owned by Hans Hamukoto, had sought to overturn the Rundu Town Council's decision to award the contract to Lwayaha and requested that the matter be reconsidered.
Hamukoto accused the town council of unlawfully substituting Lwayaha into the bid process before the submission deadline despite initially listing another entity, ABC Investments.
He also argued that Lwayaha lacked the necessary experience and that the award exceeded permissible procurement thresholds.
Fatal flaw
However, Judge Orben Sibeya found that Netvend had failed to raise these issues with the Public Procurement Review Panel before approaching the court — a fatal flaw in the review application.
"There is nothing untoward with substituting a party before the submission of a bid and before the closing date for such submission," the judge said, adding that Netvend's failure to obtain the official review record further weakened its case.
The court also rejected Netvend's claims regarding Lwayaha's alleged inexperience, noting that the contract had already been signed and was being implemented.
"Remedies cannot be granted on speculation or without a full factual foundation," the court found.
Lack of urgency
In a separate but related matter, Netvend had earlier filed an urgent application to stop the council from entering into a contract with Lwayaha.
That application, which raised similar allegations, was also dismissed in April on the grounds of a lack of urgency and evidence.
The latest ruling affirms the legality of the council's procurement process and allows Lwayaha to proceed with the five-year contract, which includes the installation and commissioning of prepaid water meter software across the town.
Netvend was ordered to pay the legal costs of both the Rundu Town Council and Lwayaha Trading.
In a judgment delivered on Friday, the court ruled that Netvend's application lacked merit and failed to follow proper legal procedures.
The company, owned by Hans Hamukoto, had sought to overturn the Rundu Town Council's decision to award the contract to Lwayaha and requested that the matter be reconsidered.
Hamukoto accused the town council of unlawfully substituting Lwayaha into the bid process before the submission deadline despite initially listing another entity, ABC Investments.
He also argued that Lwayaha lacked the necessary experience and that the award exceeded permissible procurement thresholds.
Fatal flaw
However, Judge Orben Sibeya found that Netvend had failed to raise these issues with the Public Procurement Review Panel before approaching the court — a fatal flaw in the review application.
"There is nothing untoward with substituting a party before the submission of a bid and before the closing date for such submission," the judge said, adding that Netvend's failure to obtain the official review record further weakened its case.
The court also rejected Netvend's claims regarding Lwayaha's alleged inexperience, noting that the contract had already been signed and was being implemented.
"Remedies cannot be granted on speculation or without a full factual foundation," the court found.
Lack of urgency
In a separate but related matter, Netvend had earlier filed an urgent application to stop the council from entering into a contract with Lwayaha.
That application, which raised similar allegations, was also dismissed in April on the grounds of a lack of urgency and evidence.
The latest ruling affirms the legality of the council's procurement process and allows Lwayaha to proceed with the five-year contract, which includes the installation and commissioning of prepaid water meter software across the town.
Netvend was ordered to pay the legal costs of both the Rundu Town Council and Lwayaha Trading.
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