Prasa scandal: AfriBusiness considering legal action against directors
30 August 2016
AfriBusiness will consult their legal team this week to investigate possible legal action against several company directors who were involved in the so-called Passenger Rail Agency of South Africa (Prasa) scandal.
This follows after Popo Molefe, Chairperson of the Prasa Board, alleged in an affidavit that the ANC had received great financial benefit from the controversial locomotive transaction by this agency. Billions were spent on the Afro 4000 locomotives, which were built in Spain but cannot be used on South Africa’s railway network. The governing party allegedly received R80 million.
According to Stefan Pieterse, AfriBusiness spokesperson, corruption in South Africa can never be stopped until the guilty parties are personally held liable and have to repay the misspent money.
Pieterse further said that illegally awarded tenders and black economic empowerment (BEE) were plundering the treasury and promoting corruption.