Loading...
See More

Prasa probes tender fraud

Jun 23 2011 11:53 Sapa

Related Articles

Crackdown on train drivers

Rail revamp gets green light

Prasa to tackle inefficiencies

Transnet and Prasa bury the hatchet

Accident payouts voluntary, says Prasa

Prasa wants strike declared illegal

 

Johannesburg - The CEO of the Passenger Rail Agency of SA's property management company has been placed on special leave following a probe into alleged tender fraud and irregularities, Prasa said on Thursday.

"The forensic investigations were launched after preliminary investigations revealed widespread fraud by officials in collusion with private companies," Prasa said.

"The nature and level of tender fraud has rendered an otherwise viable property division within Prasa unprofitable.

"Our commitment is to root out, not only corruption among our own officials, but even those companies involved in the defrauding of taxpayer monies," said Prasa group CEO Lucky Montana.

Montana would act as CEO of Prasa Corporate Real Estate Solutions.

Prasa said eight private companies had been implicated in the alleged irregularities, and three officials had already been suspended pending full forensic investigations.

It also took up Finance Minister Pravin Gordhan's call to blacklist companies involved in corruption, to recoup taxpayers' money from these companies and fire officials found guilty.

Prasa said it would ask companies to write a letter explaining why they should not be blacklisted from doing business with government, why they should not pay back money illegally received, and why Prasa should not institute criminal action against those proved to have committed fraud.

 
prasa  |  lucky montana  |  tender fraud  |  corruption
NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
13 comments
Add your comment
Comment 0 characters remaining
 

Company Snapshot

We're talking about:

Small Business

Retailers of any shape and size can now unlock the power of mobile transacting.
 

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...
Loading...