ConCourt rules against Beitbridge fence contractors

The Constitutional Court (ConCourt) has refused to entertain appeals by two construction companies against a ruling by the Special Tribunal that they must repay all profits they made from the Beitbridge border fence project.

It said the appeals by Profteam CC and Caledon River Properties (trading as Magwa Construction) “did not engage the court’s jurisdiction”, in a ruling that has finally put an end to this protracted litigation.

Read: Court sets aside R86m border wall tender over fraud

The R40 million contract for the construction of a 40km razor mesh fence along the border between South Africa and Zimbabwe was awarded to the two companies by the Department of Public Works and Infrastructure in March 2020 without a competitive bidding process.

The contractors received advance payments of about R21.8 million.

After completion, the fence began to fall apart and the illegal crossings it was meant to eliminate continued.

As part of its investigation into procurement during the Covid pandemic, the Special Investigation Unit (SIU) probed the project.

It found that the contracts were invalid due to procurement irregularities. Beyond that, sub-standard construction materials had been used.

Invalidated contracts 

In March 2022, the Special Tribunal declared the contracts invalid and ordered that the contractors be stripped of any profits they made.

Tribunal Judge Lebogang Modiba said the state and the public had been deprived of the public, social and economic benefits that would have flowed from a solid border at Beitbridge.

The following year, the high court dismissed the contractors’ initial appeal and confirmed the Special Tribunal’s order requiring the contractors to provide audited statements to determine the amount of profits they made.

In 2024, the Supreme Court of Appeal refused leave to appeal and in January 2026 also dismissed a reconsideration application.

Read: Beitbridge goes from worst to best border post in Africa

In a statement, the SIU says the ruling by the Constitutional Court has “closed the door to further appeals” and cemented the findings of the Special Tribunal.

“The SIU welcomes this decision. The judgments [of the tribunal and the courts] reinforce the principle that no party may profit from irregular and unlawful procurement.”

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It says it would refer any evidence of criminal conduct to the National Prosecuting Authority for further action, and would if necessary initiate civil proceedings to recover the state’s financial losses.

© 2026 GroundUp. This article was first published here.