NATIONAL ASSEMBLY

FOR ORAL REPLY

QUESTION NO 158

DATE REPLY SUBMITTED: WEDNESDAY, 24 AUGUST 2011

DATE OF PUBLICATION IN INTERNAL QUESTION PAPER: TUESDAY, 16 AUGUST 2011 (INTERNAL QUESTION PAPER: NO 24 - 2011)

Mr M S F de Freitas (DA) asked the Minister of Transport:

(1) With reference to the Deloitte forensic report involving the illegal electronic transfer of approximately R8 million from Metrorail's bank account into a number of privately-held accounts in June and July 2008, why (a) have the persons who have been implicated and named still not been brought to book and (b) do they continue to work at Metrorail or in the Passenger Rail Agency of SA (Prasa) group of companies;

(2) whether he has initiated a process to return the illegally transferred funds to Metrorail; if not, why not; if so, what are the relevant details;

(3) whether he has instituted a legal process to bring guilty parties to book; if not, why not; if so, what are the relevant details? NO2486E

REPLY:

The Minister of Transport:

(1)(a)

Two persons, who were involved in the illegal electronic transfer of approximately R8 million from Metrorail's bank account into a number of privately-held accounts in June and July 2008, have been identified.  They have been charged and the charges have been processed in accordance with the Passenger Rail Agency of South Africa's (PRASA) disciplinary code agreement.  

One case has been concluded and the second case has been remanded.  There are two processes being followed - internal disciplinary hearings and criminal investigations by the South African Police Services (SAPS).  The one internal disciplinary case has been concluded in Durban.  The person was found guilty and six months suspended sentence was imposed.  This case is being reviewed by the PRASA's Corporate Office, as the sentence is deemed extremely lenient for the nature of the offence.  The other internal disciplinary case is still proceeding.

(b) Criminal and disciplinary investigations against the persons implicated are still in process, and any further action will be dependent on the outcome of these investigations.  However, these persons have been removed from their previous sensitive roles/positions they were employed in.

(2) The potential retrieval of funds will be dependent on the outcome of the criminal and disciplinary cases against the persons.

(3) Legal action has been instituted.  A criminal case has been brought against the persons.

Issued by Parliament, August 29 2011

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