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SASSA Tender Pits Records Storage Companies Against One Another



SASSA Tender Pits Records Storage Companies Against One Another

SASSA Tender Pits Records Storage Companies Against One Another. In a high-stakes competition for the South African Social Security Agency (Sassa) tender, two prominent records storage and management giants, The Document Warehouse (TDW) and Metrofile, are embroiled in a legal tussle. This lucrative contract involves the critical task of managing and safeguarding Sassa’s extensive beneficiary records, with the current holder, TDW, reluctant to concede to Metrofile, the newly awarded recipient.

TDW Storied Legacy in Records Management

Established in 1992, TDW has emerged as a dominant force in the industry, boasting an expansive presence across all nine provinces in South Africa and extending its reach into the broader African continent. Notably, TDW has strategically developed state-of-the-art records and information management facilities with an impressive capacity to house 5 million archival boxes, equivalent to approximately 12 billion documents.

Despite its remarkable track record, TDW now faces the expiration of its seven-year contract with Sassa, creating an intense battle for the renewal of this crucial partnership.

Metrofile Ascendancy and TDW Legal Challenge

Following a competitive tender process, Metrofile secured the coveted Sassa contract. However, TDW contested the decision vehemently, taking the matter to the Johannesburg High Court urgently. The company sought an interdict against Metrofile’s contract until a thorough review of the tender process could be conducted.

Central to TDW’s argument is the contention that Metrofile’s lease agreements in various provinces do not align with the tender’s requirement to store sensitive documents exclusively in permanent storage facilities, without interim storage space.

Legal Duel Unveils Tender Details and Urgency

The tender primarily revolves around transportation, offsite storage maintenance, retrieval services, and support services for beneficiary records, which are expected to reach 60.5 million by March 31 in the nine regions under Sassa’s jurisdiction.

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The Johannesburg High Court, presided over by Judge Sulet Potterill, ruled in favor of TDW, emphasizing the irreparable harm the company would suffer if the interdict was not granted. The judgment underscored the urgency, citing TDW’s possession of 60 million Sassa files and the critical need to transport them to Metrofile’s facilities.

The court decision highlighted that even if TDW did not secure the tender, it would still be obligated to safely store the files until a new award was made. The ruling brings attention to the intricacies of the tender, emphasizing the potential financial implications and logistical challenges involved.

Metrofile Warehousing Might and the Continuing Saga

Meanwhile, Metrofile, a JSE-listed entity, commands an impressive warehousing capacity of 118,000 square meters across its 71 facilities in South Africa and neighboring countries. As the legal battle unfolds, the clash between these industry giants sheds light on the complex dynamics and competitive landscape of records storage and management in South Africa.

The fight for the Sassa tender continues, with both TDW and Metrofile striving to secure or maintain their positions in a sector integral to the security and accessibility of crucial government records.

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