TransNamib taken to court over N$48m RedForce tender

Transnamib Limited Holdings has been taken to court for allegedly handpicking RedForce Debt Management for a tender to collect N$48 million owed to the national railway company.

RedForce was appointed last month on a 12-month contract but industry players immediately criticised the awarding process, claiming they were denied a fair chance to compete for the contract.

RedForce said between 4 April and 7 May 2025 it has already recovered N$4 million of the N$48 million it is supposed to collect.

The tender was awarded through a request for proposals, but players say it should have been done through open bidding as the tender amount exceeded the threshold.

Qaurtile Debt Collection has since taken TransNamib to court and wants the High Court to declare the awarding of tender to the RedForce was unlawful and void.

“The decision of TransNamib to conduct the bidding process for the provision of the debt collection service in terms of the Public Procurement Act should be cancelled and [they should] start the process afresh,” said Qaurtile Debt Collection lawyers Jauch Nyashanu Naunyango.

The lawyers said TransNamib wrongfully, unlawfully and unfairly conducted the bidding process in terms of the Public Procurement Act.

“TransNamib deliberately excluded Qaurtile Debt Collection from the bidding process and did not include them in the shortlist of bidders drawn up in terms of the Public Procurement Act,” the law firm said.

RedForce deputy executive officer and legal adviser Magaret Malambo said Qaurtile Debt Collection has failed to exhaust the internal remedies available under the Public Procurement Act.

Malambo also accused Qaurtile Debt Collection of not rendering debt collection services to companies cited as references.

Those companies are the Development Bank of Namibia (DBN), Mobile Telecommunications Limited (MTC), and the Namibia Competition Commision.

“The only known debt collection contract held by Qaurtile Debt Collection is that of the Namibia Investment and Development Agency (Nida) awarded in May/June 2024. Prior to this award, Qaurtile Debt Collection was not active in debt collection services for any government or state-owned entity,” Malambo said.

Court documents, however, indicate that Qaurtile Debt Collection has reference letters from Nida, MTC, DBN and Old Mutual.

TransNamib executive for human capital and acting chief executive Webster Gonzo said Qaurtile Debt Collection’s application to court is not urgent.

“Qaurtile Debt Collection delayed bringing this application without reasonable explanation. TransNamib will ask the application to be struck from the court roll for lack of urgency,” he said.

The case will be heard tomorrow in the Windhoek High Court.

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