SATAWU MEDIA STATEMENT ON CORPORATE IRREGULARITIES AT PRASA

[Rea Molopyane]

 

SATAWU MEDIA STATEMENT ON CORPORATE IRREGULARITIES AT PRASA

31^st January 2012

 

SATAWU would like to raise the worrying state of affairs at PRASA pertaining to the flagrant disregard of Supply Chain Systems and the variety of other matters.We have noted with utter disgust the manner, which PRASA Management had been papering over tender irregularities pertaining to tender Number 525/2010/GAU/ PS. In this regard the Tender Committee approved the procurement of Security Services on the 8^th March 2010 in terms of which 1701 security officers were to be provided by various security companies.

To this end, PRASA management went on to increase the security officers complement by 241 additional guards without going through the requisite tendering processes. The company ended up paying over R1, 8 more than what was approved. However,   what irks SATAWU the most is that the above matter was raised with the relevant authorities at PRASA, but to no avail.

We hold a strong view that it is wrong for any person in a position of authority to forbear raising matters against implicated individuals or reflect lightly on them, because they happen to be ones’ acquaintances and/or cronies, hence our stance to expose the rot in this respect. The implicated Managers continue to work for PRASA up to this day as, if nothing had happened. The rife violations of Supply Chain Systems had resulted in depletion of Rolling Stock Materials (Train Sets Components), a situation that compelled PRASA to strip train sets of components so as to fix other trains sets for them to remain in operation.

These acts on the part of PRASA Management brought about serious shortage of trains, which in some cases resulted in serious injuries and loss of lives of the poor passengers.  On the 19^th January 2012, a commuter who was trying to board an overcrowded train at Kaalfontein Train Station lost his life.  Incidentally, a pupil who was also trying to board the same train fell off and almost lost his entire arm.

SATAWU cannot keep mum, whereas the safety of the commuters is compromised in this manner. In fact even the jobs of our members are also threatened in the process, a situation that cannot be left unchallenged. SATAWU shop stewards at PRASA, who are audacious enough to challenge irregularities and/or perceived Corruption, are being victimized and harassed through suspensions and even dismissals without being subjected to disciplinary hearings. We are told the instructions are issued from the office of the GCEO of PRASA, Mr. Lucky Montana.

The fruitless and wasteful expenditures have become a common phenomenon at PRASA. This has resulted in depletion of financial resources including the reserves. SATAWU is wondering as to how the internal Auditors at PRASA have been failing to pick up the rot there.  In instances, where some senior officials of the Company, who are perceived to be close to the GCEO are fingered, PRASA opts to take no action against them.

A forensic Investigation, which was commissioned to probe PRASA’s missing funds, released a damning report fingering certain managers, but up to this day the fingered individuals had still not been dealt with through due processes. We have received information that points to the fact that the report revealed that certain managers at PRASA have failed to take precautionary measures to avert theft of PRASA’s funds by the syndicate, despite having received information beforehand. 

 

In the Eastern Cape, SATAWU shop stewards were dismissed for raising issues that implicate the Regional Manager. Our union Officials alerted PRASA GCEO, Mr. Lucky Montana about this matter, but to no avail.  Up to this day, he opted not to act for reasons best known to himself, despite the allegations pointing to flouting of tender processes.   

We contend that Mr. Lucky Montana had been failing to provide corporate leadership, let alone executing his fiduciary obligations pertaining to safeguarding the public funds being pumped in to PRASA.

Consequently, SATAWU demands amongst others the following:

 

• That Independent forensic investigation be commissioned to probe PRASA’s Financials for the last five years to date;

 

• That the Group CEO, Mr. Lucky Montana be suspended pending investigation.

 

• That PRASA stop all forms of harassment and persecution of SATAWU Shopstewards and Members; as well as

 

• Prioritization of the safety of commuters and that of PRASA employees in general.

 

Issued by:

SATAWU President

Ephraim Mphahlele

072 111 8131