Construction titans clash as DM model crumbles

On November 12, the High Court issued an interim order restraining the Ministry of Transport and Infrastructure and Absa Bank from paying any funds to Pro-Serve Consulting arising from the Modipane–Mabalane road project. The order also restricted Pro-Serve, the ministry, and Unik Construction from contaminating the construction project or dispossessing Tau Grading from exclusive possession of the construction site. This was after Tau Grading launched an ex parte urgent application at the High Court, seeking an anti-dissipation order preserving funds deposited by the ministry into the Pro-Serve account at Absa Bank.

Pro-Serve engaged Tau Grading in October 2024 for the discharge of works on the Modipane–Mabalane road project. The project was funded by the Ministry of Transport under the DM model. Things took a turn for the worse in September, when Tau Grading suspended construction works on account of non-payment. In response, Pro-Serve instructed Tau Grading to continue discharging its duties or risk being construed to be non-compliant. The development manager cited a clause in its contract with Tau Grading, which states that the contractor will not be paid until corresponding payment has been made by the government.