Transport Minister Dipuo Peters has announced the members of a new interim board of directors for the Passenger Rail Agency of South Africa (Prasa) to oversee the State-owned enterprise (SOE) until a new board is appointed.
The interim board includes former South African National Roads Agency Limited (Sanral) chief executive officer Nazir Alli and former Department of Transport spokesperson Tiyani Rikhotso.
Peters dissolved the former Prasa board last week after the board had dismissed the acting CEO, Collins Letsoalo, who was seconded to Prasa from the Department of Transport by the Minister.
Addressing the media here Monday, Peters said she had a responsibility to ensure that Prasa delivered on its core mandate and that such delivery was underpinned by prudent and good governance principles.
“The decision to second Mr Letsoalo was intended to ensure that we attend to and correct all other issues that drew negative publicity and brought about a sense of insecurity and low staff moral at Prasa,” she added.
“As the government, we have committed ourselves to deal decisively with fraud and corruption, and will do everything in our power to root out these acts of dishonesty and criminality wherever they emerge.
“In ensuring that Prasa delivers on its core mandate and that such delivery is underpinned by good governance principles, I expressed my concern over the long and protracted investigation by Werksmans Attorneys.
“My concern was that the investigation seemed endless and without a clear scope and a specific end objective. This situation resulted in excessive spending, which was reported to be in the region of 80 million Rand (about 6.01 million US dollars) then and now sitting at approximately R127 million.”
The law firm was contracted to conduct a probe into suspect deals at Prasa identified by the Auditor-General.
Peters said the decision to dissolve the previous board and the appointment of the interim board will not affect the ongoing investigations into various corruption cases. She said the interim board members were carefully selected on the basis of skills and expertise required to run a company.
Source: NAM NEWS NETWORK