BiH Ministry of Communications: We cannot influence the outcome of the Microsoft license procurement

The Ministry of Communications and Transport of Bosnia and Herzegovina has issued a tender for the procurement of Microsoft licenses - for the needs of institutions of Bosnia and Herzegovina. According to the documentation required in the tender, this multi-million dollar deal can be awarded to only two companies from Bosnia and Herzegovina, namely the IT company SYS Co from Sarajevo or the company Lanaco d.o.o. from Banja Luka.

The tender documentation issued by the Ministry of Communications and Transport of Bosnia and Herzegovina states that only companies with the status of a so-called Microsoft LAR can apply for the tender, worth nearly 17 million BAM. These are Microsoft partners specialized for large customers.

Microsoft's LARs for BiH are precisely these two companies; SYS Co and Lanaco d.o.o. There is no third company with LAR status in BiH. The owner of the Sarajevo-based company SYS Co is Faruk Telibečirević. He is also a co-owner of the company Logosoft. The owner of the Banja Luka-based company Lanaco is Nebojša Ninić, one of the closest associates of Milorad Dodik. 

From the Ministry of Communications and Transport of BiH, in a response to Patria, they claim that the ministry could not in any way influence the outcome of this tender. Only Microsoft LAR authorized partners have the authority to conclude so-called Microsoft ESA agreements. Such rules, they claim, were not established by the ministry, but must be adhered to.

- Point 5 of the license of the Strategic Partnership Agreement (SPA) which the Council of Ministers of Bosnia and Herzegovina and Microsoft Corporation signed on December 18, 2008, the Council of Ministers of Bosnia and Herzegovina committed to signing a Microsoft business and services agreement and an Enterprise Subscription Agreement (ESA). Considering the above, the Council of Ministers of Bosnia and Herzegovina adopted the Analysis of the ESA Agreement and the Premier Support Agreement between the Council of Ministers of Bosnia and Herzegovina and Microsoft Corporation, which accepts the option of concluding a new ESA agreement for the period July 2016 – June 2019.

The Ministry emphasizes that only Microsoft LAR authorized partners have the authority to conclude Microsoft ESA agreements, which is why this was one of the conditions required in the tender documentation – explain from the Ministry of Communications and Transport of BiH.

- Based on the adopted Analysis of the ESA Agreement and the Premier Support Agreement between the Council of Ministers of Bosnia and Herzegovina and Microsoft Corporation by the Council of Ministers of Bosnia and Herzegovina, during the tender procedure, the Ministry requested from Microsoft Corporation a confirmation of legal entities that have LAR status.

The Ministry, as the contracting authority on behalf of the Institutions of Bosnia and Herzegovina, is not able to influence the internal rules of Microsoft Corporation, nor the manner and procedure of granting Microsoft LAR status, and consequently cannot influence the outcome of the public procurement – states, among other things, in the response from the ministry, writes Patria.