Agency not liable for losses by set-top box suppliers, says Cwele
Companies declare dispute over losses from change in procurement plan
The Universal Services and Access Agency of SA (Usaasa) cannot be held liable for the losses incurred by set-top box suppliers following its decision to halt the procurement of the converters, Telecommunications and Postal Services Minister Siyabonga Cwele said on Tuesday. The agency, which is in charge of procuring the set-top boxes required when digital migration occurs, decided in 2016 not to proceed with ordering the devices pending the conclusion of the legal battle over the non-encryption of the converters. But three suppliers — Leratadima Marketing Solutions, CZ Electronics and BUA Africa — have, separately, declared a dispute for arbitration and could possibly head to court. The companies are unhappy after incurring losses worth millions of rand as a direct result of the Usaasa decision. Leratadima, which could cut hundreds of jobs, is said to be sitting on millions of rands’ worth of components it ordered from overseas to manufacture the converters, which they now can’t use...
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