Prasa identifies improper contracts worth R1.5bn
THE Passenger Rail Agency of SA (Prasa) has identified more than 40 companies with contracts totalling R1.5bn that it says were awarded improperly.This discovery forms part of Prasa’s year-long forensic investigation into a number of contracts awarded under former CEO Lucky Montana and other Prasa officials.Prasa’s forensic investigation was initiated following a report by the public protector, released in August 2015, which revealed Prasa had improperly extended tenders, contravening its supply chain management policy, the Public Finances Management Act and the Constitution.In her recommendations, Public Protector Thuli Madonsela said the Treasury should commission forensic investigations into contracts and tenders above R10m at Prasa.The Treasury, through its chief procurement officer, would work independently but the public protector would "determine the terms of reference so that they don’t go too shallow", she said.Treasury procurement official Mbulelo Gingcana, working under t...
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