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DA: PRASA: Fraud and corruption charges laid against Montana

Luck Montana
Photo by Duane Daws
Luck Montana

27th August 2015

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/ MEDIA STATEMENT / The content on this page is not written by Polity.org.za, but is supplied by third parties. This content does not constitute news reporting by Polity.org.za.

This morning I laid criminal charges of corruption against former Passenger Rail Agency of South Africa (PRASA) Group CEO (GCECO), Mr Lucky Montana, and other functionaries of PRASA, based on the damning evidence against them in the report by the Public Protector released earlier this week.

The contents of the Derailed report looked into cases of grand maladministration at PRASA and revealed how Mr Montana used his power, influence and access to billions of Rands of South Africans’ taxpayer money to enrich himself and a network of associates.

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Mr Montana dipped into the finances of PRASA like it was his personal piggybank, he cancelled and rewarded tenders on a whim while knowingly contravening laws and regulations like the Public Finance Management Act (PFMA) and the Supply Chain Management (SCM) Policies of PRASA.

Mr Montana therefore directly allowed and, in fact, facilitated maladministration, corruption, conflicts of interest and financial mismanagement on a large scale.

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Having studied the report of the Public Protector, the Democratic Alliance is of the considered view, that there is a prima facie criminal case that needs to be investigated, to which Mr Montana must answer for in a court of law.

The charges that were laid in terms of Section 4 of the Prevention and Combating of Corrupt Activities Act, which deals with Offences in respect of corrupt activities relating to public officers which we contend was violated. Furthermore, these charges were also laid taking into account Sections 84 to 86 of the PFMA.

Like other state entities, PRASA is entrusted with billions of Rands, and it is therefore important that it is managed in line with regulatory framework in which it operates, and that those at the helm are of the highest calibre.

Corruption steals opportunities form the people of South Africa, and all cases, however big or small must be taken seriously, and the law must the criminal justice system must operate without fear, favour and prejudice in each case.

 

Issued by DA

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