Question NW3368 to the Minister of Transport
28 October 2015 - NW3368
De Freitas, Mr MS to ask the Minister of Transport
How does her department intend to recover the billions of rand lost by the Passenger Rail Agency of South Africa (PRASA) as a result of the alleged fraud and mismanagement attributed to the Group Chief Executive Officer, Mr Lucky Montana, (b) and what measures will her department put in place to ensure that PRASA is able to successfully fulfill its mandate to provide the public with safe affordable and reliable rail services? NW 4027E
Reply:
The Minister of Transport and the Board have commissioned forensic investigations on several aspects that include maladministration and improper conduct by the former Group CEO, any employee of the Agency and any Board Member. Once these investigations on all aspects are finalized, the Minister will peruse the report and its recommendations and decide on the way forward for implementation of the outcome of the reports. Currently the group CEO is challenging the outcome of the Public Protector’s report by making some submissions, once the Public Protector has considered the submissions, a final report of the Public Protector will be issued and the Minister of Transport will be in the position to decide on the way forward, including reporting to the President
The Minister of transport have already advised the Board of PRASA to ensure that all employees are sent to various training which will enhance their capacity of comprehending amongst others the PFMA and its regulations and all other statutes that may be relevant for the performance of their dities.
The Minister will first peruse the recommendations of the forensic investigations, the final Public Protector’s report. Once all the parties has submitted their motivations and a final outcome of the investigations have taken into account all the affected parties statements the Minister will decide on the action to take. Currently it is premature to decide or announce what steps will be taken before the forensic investigation and the Public Protector’s investigations are finalized and perused. The Minister however guarantee to the members that steps will be taken against any person who may be fingered by the investigation reports.