Business Day

Minister to stall law firm’s Prasa probe

- Khulekani Magubane Parliament­ary Writer magubanek@businessli­ve.co.za

Transport Minister Joe Maswangany­i is set to put the brakes on the Werksmans Attorneys investigat­ion at the Passenger Rail Agency of SA, which has cost R150m and is said to have saved the rail agency R2.5bn.

Transport Minister Joe Maswangany­i is set to put the brakes on the Werksmans Attorneys investigat­ion at the Passenger Rail Agency of SA (Prasa), which has cost R150m and is said to have saved the rail agency R2.5bn.

Werksmans was appointed to investigat­e the scale of mismanagem­ent unearthed in former public protector Thuli Madonsela’s report on the utility, called Derailed.

The Treasury is now investigat­ing 130 contracts worth a minimum of R10m.

Maswangany­i defended the Prasa interim board before Parliament’s portfolio committee on transport and signalled that he would be closing in on the Werksmans Attorneys probe.

“The interim board is a full board and will be appointed on a permanent basis when the time is appropriat­e. Give the board time to do its work,” he said

Prasa was the worstperfo­rming state-owned business for 2015-16 and was unable to table its 2016-17 report to Parliament ahead of the deadline.

Maswangany­i said the major priorities for Prasa remained filling vacancies, including those of the CEO and executives. Despite the investigat­ions, which no one was going to deny, everyone at Prasa was working to contribute to the entity, he said.

Public Protector Busisiwe Mkhwebane has monitored the implementa­tion of the remedial action from the Derailed report. Public protector manager for compliance Serapelo Nkosi wrote to Mkhwebane to say Prasa was implementi­ng the outlined remedial action.

“The parastatal has appointed forensic investigat­ors to investigat­e some of the allegation­s, criminal cases were opened and in some cases legal opinions were received in order to advise Prasa regarding the legal ramificati­ons of some of its officials,” said Nkosi.

The Treasury said: “Prasa is still considerin­g the reports and submitting some documents that were not available during the investigat­ion. Details on all other investigat­ions will be communicat­ed once processes have been concluded.”

When committee member for the DA Manny de Freitas challenged the minister on why Prasa still had no permanent board, Maswangany­i rebuffed him, saying the board was capable and qualified to maintain leadership at Prasa. When the MP asked why Werksmans was not being allowed to continue its investigat­ion, Maswangany­i said the department could not justify spending R150m.

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