Cape Times

Prasa denies allegation­s of ‘total collapse’

- Siyavuya Mzantsi and Siyabonga Mkhwanazi

THE dispute between Eskom and the National Treasury, and allegation­s of impropriet­y involving the ANC and the Passenger Rail Agency of SA (Prasa), has intensifie­d after the rail agency denied being “self-destructiv­e” and in “total collapse”.

Briefing the media yesterday, Prasa’s acting chief executive, Collins Letsoalo, said positive work was coming out of the parastatal despite its challenges.

“The recent media reports may have painted a picture of an organisati­on in collapse and which is self-destructiv­e. That cannot be further from the truth. Although there are challenges, those challenges are not insurmount­able.”

His statements came after allegation­s by Prasa chairperso­n Popo Molefe, in an affidavit, that R80 million was channelled by one of the contractor­s of the multibilli­on-rand tender to the ANC. The ANC has refuted claims it received the R80m.

Molefe told MPs in Parliament this week that corruption at Prasa spanned years.

Prasa had confirmed continuing to probe a R41 billion tender despite earlier attempts by Transport Minister Dipuo Peters to block it.

Asked to comment on Molefe’s allegation, Letsoalo said: “Popo Molefe is not Prasa. Lucky Montana is not Prasa. They are not even in the executive of Prasa. Here are the competent men and women that run Prasa on a daily basis.

“If you go and ask Popo Molefe what is happening at Prasa, he is going to call me because he doesn’t run Prasa.”

Meanwhile, the fight between Eskom and the Treasury escalated yesterday after MPs told Eskom bosses it was the hand of Public Enterprise­s Minister Lynne Brown that forced the utility to hand over informatio­n to the Treasury.

Other state-owned entities, including Denel, have now entered the fray in the matter involving Finance Minister Pravin Gordhan and Eskom.

Minister in the Presidency Susan Shabangu expressed concern, saying the government hoped the problems would be resolved by parties concerned.

Earlier, Eskom chief executive Brian Molefe rejected accusation­s that he was corrupt or captured by the Guptas, instead insisting he was captured by the constituti­on.

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