Image Source: GroundUp
Local – Transport Minister Barbara Creecy has announced that South African law firm Webber Wentzel has been appointed to investigate allegations of corruption at the Passenger Rail Agency of South Africa (PRASA). This comes after media reports revealed that a whistleblower compiled a report detailing corruption related to two tenders worth R18 billion.
During a media briefing on Monday, Creecy confirmed that the investigation would look into procurement irregularities, fraudulent payments, compliance with bond security requirements, and allegations of unlawful contracts. It will also review concerns over the non-payment of 16 companies.
“These will be investigations which will include both the relevant officials named by the whistleblower as well as board members,” she said.
Creecy emphasised the urgency of the matter, “A preliminary report is expected within 30 days, if not sooner.” She also confirmed that she would review the findings before advising on the next steps.
“[On Sunday] following a conversation with the chairperson of the PRASA board, I agreed that given that there are allegations against the board, I will receive the preliminary report and, on the basis of the findings, advise on what further action needs to be taken,” she stated.
She stressed the need for a swift resolution, saying, “It is important that this investigation takes place speedily so that, if necessary, we can take appropriate remedial action and put this episode behind us.”
Alongside the legal investigation, the Auditor General (AG) will conduct real-time audits on all significant procurement processes at PRASA. These audits will help spot weaknesses in control measures early and provide reports quickly to ensure corrective action is taken.
“It is the intention going forward that PRASA will adopt this system to enable the accounting officer to take corrective measures to protect resources and prevent fraud or wastage and ensure that programmes rolled out, as designed, benefit our passengers,” Creecy said.
She also reiterated the government’s commitment to restoring the country’s passenger rail system, a priority for the seventh administration.
Over the past two and a half years, PRASA has worked to restore “train services on 31 out of 40 priority lines to rehabilitate hundreds of stations vandalised during the COVID-19 pandemic. We must continue this work so that PRASA’s passengers can get the rail system they deserve.”
Looking ahead, the Minister urged all involved to stay focused on recovery efforts. “It is important that the board, management and workers of PRASA continue to focus on the recovery of priority lines, the rehabilitation of stations and the renewal of signalling so that we can increase train slots and thereby ensure that our passengers get to work and to school cheaply, safely and on time.”
