Molefe says Prasa board sacked to halt probe into corruption worth billions

09 March 2017 - 10:29 By TMG Digital
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Fired Passenger Rail Agency of SA board chairman Popo Molefe has accused Transport Minister Dipuo Peters of dissolving the board to kill its investigation into massive corruption.

Molefe‚ speaking on Cape Talk radio on Thursday‚ said the board had refused to halt their investigations into corruption at Prasa.

Peters‚ he said‚ wrote to him last night ending his term as board chairman “because there was a public spat between the board and … Mr Letswalo and she said that she is acting to restore good corporate governance.”

  • Popo Molefe to ask courts for help as Prasa board is dissolvedPassenger Rail Agency of South Africa board chairman Popo Molefe is shocked at the dissolution of the board by Parliament on Wednesday‚ after it ousted disgraced Acting CEO Collins Letsoalo.

The board was dissolved after the Sunday Times revealed how former Prasa acting group CEO Collins Letsoalo had increased his salary by 350%. The board said it had not approved the massive salary hike.

  • Molefe to sue over axingAxed Passenger Rail Agency of SA board chairman Popo Molefe has vowed to take legal action against Transport Minister Dipuo Peters for dismissing him.

“It (the letter) says nothing. She does not tell us what is this corporate governance that she is talking about‚” said Molefe. “The minister is wanting us to stop the investigation which is a very important matter for this country on the wide ranging corruption that has taken place inside Prasa.

“We have refused to stop those investigations when she wrote to us to do so. Clearly therefore the dissolution of the board is the easiest way of getting to that objective of ending the investigation.”

Peters was of the view that the investigation was a waste of money‚ he said. The probe involved billions of rands in irregular expenditure and irregular tenders and included issues raised in former Public Protector Thuli Madonsela’s 2015 Derailed report into Prasa.

Madonsela‚ among her findings‚ said that Prasa had improperly extended a tender worth nearly R2 billion to Siyangena Technologies.

“I do think that they are protecting someone. They are clearly protecting these people who are involved in this corruption‚” said Molefe.

“In this country that is ravaged so much by corruption … there should be a few people who stand up to attempt to stop this rot.”pol

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