Do You Know How to Spot a PPE Tender Scam?
What is Tender Fraud?
Tenders allow for great business opportunities. Unfortunately, ill-willed people take advantage of this. Fraudsters have developed convincing ways to imitate tender requests.
Tender scams can be incredibly costly for companies that are fooled. Knowing how to spot a PPE tender scam may save your business from being defrauded.
Delta Health and Safety has valuable advice for identifying and avoiding PPE tender scams.
Tender Scam Red Flags to Look Out For
Scammers have compelling and convincing methods of making a tender appear legitimate. Luckily you can look out for several things that identify a tender scam.
The Standard Tender Process Has Not Been Followed
Tender processes follow stipulated procedures. If you are registered on the government’s Central Supplier Database (CSD), ensure you are aware of some factors:
- The services or goods you have registered to supply
The procedures involved in government procurement - If contacted by a well-known entity in a manner not aligned with their procedures, investigate further.
The Tender Specifies a Specific Brand
It is against government policy to stipulate the brand of tendered goods. A “request for quotation” (RFQ) from a government department will never demand a specific brand.
When you see a specific brand demanded in a so-called government tender, it is likely a fraudulent document.
The Tender Document Looks Odd
Occurrences of tender fraud are often supported by documents that seem official. However, there are small things that you can look for on these documents that show if they are fake.
Fraudsters may use a government or established company logo. Often it is copied and pasted so that the quality will seem slightly off. If something looks wrong on any tender document, you should take the time to verify it.
The Contact Details on the Tender Document Raise Suspicion
All companies and government departments have specified email domains. Your suspicion should immediately be raised if your tender document arrives from a Gmail address.
Unfortunately, it is seldom this straightforward. Many scammers can create domains that do not raise immediate concern. When you receive a tender document, always confirm it has come from the specific department’s domain.
The Tender Calls for an Unusual Amount of Identical Products
When supplying PPE, size is essential. There is seldom a one size fits all remedy for PPE. Receiving an RFQ requesting a large quantity of a specific protective item in the same size is unusual. For example, if you receive a tender for 300 safety shoes in a size 8 it should be queried. Not all workers have the same shoe size.
The Amount on the RFQ Seems Excessive
When the government issues a tender over five hundred thousand Rand, it must be advertised for 21 days. This is to allow suppliers to compete for the tender fairly.
You will not receive a valid tender request for more than R500,000 without applying.
How to Verify a Legitimate Tender
Not all RFQs are fraudulent. If you are registered on the CSD, you may receive valid requests. Verifying every request you receive is good practice to mitigate the risk of being scammed.
Here are a few ways to confirm whether your tender document is legitimate.
Investigate Company Premises on Google Maps
All tender documents should have contact details and the address of the company or department on them. Look this address up on Google Maps or visit it in person. It is a scam if there is a vacant lot or you cannot find the company that issued the tender. This does not just apply to companies that buy from you. You should also confirm that you are purchasing from bona fide suppliers.
Contact the Company or Government Department Directly
Contacting a company or government department to confirm a tender prevents fraud and shows efficient business practice. Do not use the contact details on the tender document. Look up the correct numbers online.
Check the Tender Bulletin to see if it has Been Gazetted
There is a Tender Bulletin released in the Government Gazette. All government tenders are listed here. You can compare the tender document you received to that list here.
Confirm the Purchase Order Number
Every tender document issued by a company or government department must have a purchase order number. When you contact the issuer to confirm their details, give them this number.
If the document is legitimate, they will have a record of the purchase order number. Request that whoever you speak to pull up the purchase order. Ask them to confirm the details match the one you have.
Don’t Get Caught Out. Ensure You Know How to Spot a PPE Tender Scam
Keep your business safe. Use the tips above to ensure the tender documents you receive are valid. Bookmark this blog, so you can refer to it as needed.
Delta Health and Safety is on hand to help you meet any confirmed and valid PPE tenders you receive.