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PRASA Scandal Deepens: R7. 5 Billion Rail Project centre of focus
PRASA Scandal Deepens: R7. 5 Billion Rail Project centre of focus

IOL News

time4 days ago

  • Business
  • IOL News

PRASA Scandal Deepens: R7. 5 Billion Rail Project centre of focus

The Prasa headquarters were raided on Wednesday. Image: Jacques Naude/Independent Newspapers A high-level investigation into procurement irregularities at the Passenger Rail Agency of South Africa (PRASA) has intensified, following a dramatic raid by the Hawks at the agency's Braamfontein headquarters. While public attention has largely focused on Maziya General Services following the release of a whistleblower report, mounting evidence now suggests that some of PRASA's most serious procurement failures — costing taxpayers billions — may lie elsewhere. On Wednesday, the Hawks' Specialised Commercial Crime Unit, supported by the National Prosecuting Authority's Specialised Commercial Crime Unit, executed a search-and-seizure operation. Laptops, mobile phones, and documents were taken from four of PRASA's top executives: CEO Hishaam Emeran, acting chief procurement officer Asif Rehman, head of legal Nompumelelo Gamedze-Phasha, and chief financial officer Brian Alexander. Brigadier Thandi Mambo, spokesperson for the Hawks, confirmed that the operation formed part of an ongoing investigation, but declined to comment further. 'To protect the integrity of our investigation, we cannot disclose details at this time,' she said. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Sources familiar with the matter say that Maziya's contracts went through all required internal processes, including evaluations by the Bid Evaluation Committee (BEC), Board Adjudication Committee (BAC), and the Executive. Notably, Maziya's work appears to be one of the few bright spots in PRASA's recent efforts to restore passenger rail services. Maziya has been actively involved in rehabilitating key corridors in Gauteng and the Western Cape. Trains are now running along previously dormant routes, and infrastructure upgrades are visibly in progress. In contrast, another massive PRASA project — unrelated to Maziya — valued at R7.5 billion, appears to have stalled completely. That project, which has already consumed R2.5 billion in public funds, was meant to refurbish trains and improve network reliability. Instead, many of the trains procured remain idle, in disrepair, or have been discarded entirely. With no clear operational outcomes, the R7.5 billion deal is increasingly viewed by insiders as one of the most costly and unproductive contracts in recent memory. Now, PRASA is reportedly exploring the option of cancelling that contract. However, legal experts are warning that such a move could trigger far-reaching consequences.'Terminating a contract of this size and complexity isn't something that can be done lightly,' said Mesela Nhlapo, CEO of the African Rail Industry Association. 'Even if there were procurement irregularities, the agency could face massive financial penalties or protracted litigation. These contracts often contain strict arbitration clauses and early termination fees.' Nhlapo added that the implications for the rail industry are broader than just this case. 'This is one of the biggest financial missteps in South Africa's recent transport history. The reputational and operational damage to PRASA and the country's commuter rail system is enormous. Investors and industry players are watching closely.' PRASA, for its part, has acknowledged receipt of the whistleblower's report and confirmed it will appoint an independent panel to investigate. 'The board takes the allegations seriously,' said PRASA spokesperson Andiswa Makanda. 'In line with our whistleblower policy, the first step will be to appoint an independent investigator.'

Parliament prepares for crucial budget vote debates as scheduling issues arise
Parliament prepares for crucial budget vote debates as scheduling issues arise

IOL News

time27-06-2025

  • Business
  • IOL News

Parliament prepares for crucial budget vote debates as scheduling issues arise

Parliament will start with the budget votes on Friday with Ministries of Small Business Development .and Forestry, Fisheries and the Environment presenting their policy speeches. Image: Jacques Naude / Independent Newspapers Parliament gears up to deliberate on the budget votes for various departments, including the Presidency, as pressure is mounting to meet the end-of-July deadline for the finalisation of the Budget. The budget votes will kick off on Friday with the Small Business Development Department, and the Department of Forestry, Fisheries and the Environment being the first to present their policy speeches. During a briefing to the National Assembly Programme Committee on Thursday, Cameron Dugmore, the committee whip, outlined that the schedule is expected to run until the end of July. The budget vote for the Presidency will occupy two days of scrutiny between July 16 and 17, and Parliament on July 15, with all deliberations culminating in a vote on the Appropriation Bill in the National Assembly set for July 23. The National Council of Provinces has its programme that will culminate in the passing of the Budget at the end of July. However, not all discussions have been smooth. Dugmore told the MPs that there have been one or two issues the officials were engaging on around scheduling the Sport, Arts and Culture budget vote. 'But we don't need to get into that now, in my view,' he said before outlining some of the budget votes lined up for the week until next Friday. National Assembly Speaker Thoko Didiza said they had received a request from the Sports Portfolio Committee to look at the amendment of their budget vote schedule for Tuesday. 'We are still waiting to engage the committee and the minister on the issue because it looks like they are not on the same page. The minister is ready to continue on Tuesday, but the committee feels that there is a new document that they need to bring to the committee, and they would like to have some engagement before the budget debate is taken,' she said. 'I just thought it was important to appraise the members to understand why there might be a need to amend that date,' Didiza said. MK Party MK Visvin Reddy raised concerns with the way the committees were structured during the days of the upcoming budget votes. 'I want to appeal to the technical staff that when they schedule the debates, try not to have committees that sit on a Monday and Tuesday at the same time,' he said. 'So you find that there are multiple debates that are stacked across two venues, and with some sessions running right until 6pm. Maybe, if you could please allow the people to start to relook and reconfigure these meetings so that they are manageable,' he said.

High court rejects call for South Africa to declare Israel an enemy state
High court rejects call for South Africa to declare Israel an enemy state

IOL News

time12-06-2025

  • Politics
  • IOL News

High court rejects call for South Africa to declare Israel an enemy state

The Gauteng High Court, Pretoria, has dismissed the Society for the Protection of Our Constitution's attempt to force the government to declare Israel its enemy over the ongoing genocide in Palestine. Image: Jacques Naude / Independent Newspapers The Society for the Protection of Our Constitution has failed in its attempt to force the South African government to declare Israel its enemy for its acts of genocide against the people of Palestine. The society approached the Gauteng High Court, Pretoria, on an urgent basis in a bid to compel the government and a dozen other sovereign states to declare Israel an enemy of South Africa. Brazil, Russia, India, China, Norway, Switzerland, Sweden, Denmark, UK, Ireland, and France were among the countries cited by the organisation, which wanted them to take reasonable measures, including using force, to enable the about 3,000 trucks, containing food, medicine, water, vaccines and aid, currently stuck at the border between Egypt and Gaza to gain entry into Gaza. The society wanted the court to direct the South African government to call upon the relevant organs of the United Nations (UN) to take such action under the UN Charter as they consider appropriate to suppress Israel's infliction of acts of genocide upon the people of Palestine. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ In addition, the high court was also asked to direct the Government to take measures to impose economic, cultural, sport, and academic sanctions against Israel. The society wanted the government to direct Israel's ambassador to South Africa to return to his/her place of origin. Denmark filed a notice in which it can raise a point of law only without having to submit an answering affidavit with detailed factual averments, and stated that the society had not complied with the Foreign States Immunities Act and international service requirements. The Act requires that the service of legal process on a foreign state must occur through the Department of International Relations and Cooperation for onward transmission to the Foreign Ministry of the state concerned. In terms of the Act, no direct receipt by the Foreign Ministry by service on an embassy or diplomatic mission is valid, and there is a mandated two-month waiting period after proper service to safeguard foreign states from rushed proceedings. The society later withdrew its application against the 12 states, but Judge Sulet Potterill found that Israel could not be declared an enemy of the South African state if it is not a party to the proceedings. She said the blockage of aid to vulnerable people is horrific and is ongoing, but the society did not set out what triggered its application and failed to set out explicitly the circumstances that render the matter urgent. The judge added that the society also did not set out why it cannot be afforded substantial redress at the hearing in due course. 'Directing the government to impose sanctions against the State of Israel and withdrawing Israel's ambassador is incompetent due to the withdrawal, but also because this would breach the separation of powers principle,' the judge ruled. Judge Potterill said the orders sought by the society were all aspects of foreign policy, which is essentially the function of the executive and will be better served by diplomats than the judiciary. 'A court cannot tell the government to make diplomatic interventions, it is within the prevue of the government,' reads the judgment delivered on June 4. Additionally, the order sought to call upon relevant UN organs was also incompetent as it would be vague and impractical, according to Judge Potterill.

Townlands Social Housing Project and the importance of community support
Townlands Social Housing Project and the importance of community support

IOL News

time12-06-2025

  • Business
  • IOL News

Townlands Social Housing Project and the importance of community support

By offering subsidised rental fees, Tshwane'sTownlands provides a critical lifeline for individuals and families within the income band of between R1 850 and R22 000 per month, enabling them to access housing that is both affordable and conveniently located near the city centre. Image: Jacques Naude/Independent Newspapers The Townlands Social Housing Project is a significant milestone in our quest to provide affordable housing solutions within Tshwane. This initiative is not merely about constructing buildings, but it is a transformative effort aimed at creating healthier, sustainable and inclusive communities. By offering subsidised rental fees, Townlands provides a critical lifeline for individuals and families within the income band of between R1 850 and R22 000 per month, enabling them to access housing that is both affordable and conveniently located near the city centre. The importance of this project cannot be overstated. As urbanisation continues to rise, so does the demand for affordable housing in urban centres. The Townlands Social Housing Project responds directly to this need, granting residents the opportunity to live close to their places of work and economic activities, ultimately contributing to the reduction of the housing backlog in our communities. Our partnership with the Social Housing Regulatory Agency (SHRA) and the Housing Company Tshwane (HCT) epitomises our commitment to collaborative efforts aimed at enhancing the quality of life for Tshwane residents. However, while the Townlands project heralds a new beginning for many, it is essential to acknowledge the challenges that private social housing projects are facing. The reports of rent boycotts and disruptive behaviour from individuals who evade their rental obligations are concerning. Such actions undermine the sustainability of social housing initiatives and place undue pressure on both the government and responsible tenants striving to fulfil their commitments. In light of these challenges, the Human Settlements Department advocates for a proactive approach. We urge residents who experience a change in their economic circumstances to communicate with our department. Our goal is to redirect assistance to those who need it most, ensuring that no family is left behind during these trying times. The complexity of housing affordability necessitates transparency and cooperation between tenants and housing authorities, as we work together to build a stronger, unified community. We also appeal to the public and stakeholders to support our endeavours in combating homelessness and addressing the long-standing housing challenges in Tshwane. The reduction in grant funding for human settlements in metropolitan municipalities diminishes our financial bandwidth, necessitating a sharper focus on essential trading services, including energy, water, sanitation and solid waste management. Nevertheless, we remain steadfast in our commitment to social housing initiatives and believe that community support is vital in this journey. In conclusion, we urge every individual, community leader and stakeholder to collaborate with us in fostering a culture of responsibility and mutual respect in the realm of social housing. As we navigate the complexities of affordable housing and aim to protect the integrity of our community projects, let us remember that the future of social housing in Tshwane is not solely the responsibility of government – it is a collective endeavour that requires the participation and commitment of all residents. Together, we can build a brighter and more equitable future for everyone. Ald Aaron Maluleka MMC for Housing and Human Settlements

UNISA faces scrutiny after finance official's whistle-blowing on ANC-linked spending
UNISA faces scrutiny after finance official's whistle-blowing on ANC-linked spending

IOL News

time10-06-2025

  • Business
  • IOL News

UNISA faces scrutiny after finance official's whistle-blowing on ANC-linked spending

Minister of Higher Education and Training, Dr Nobuhle Nkabane, has revealed that she is keeping a close eye on the prevailing conditions, which have seen the continued suspension of senior officials at the institution. Image: Jacques Naude / Independent Newspapers Minister of Higher Education Nobuhle Nkabane has revealed that her department is keeping a close eye on the situation at the University of South Africa (UNISA). This comes amid reports that the institution has been engaged in a series of suspensions involving some of its senior officials who are being sidelined for allegedly sounding the alarm on irregular financial transactions at the institution. In the latest wave of suspensions, it is reported that the university has suspended another senior official in its finance department for blowing the whistle on R500,000 that was allegedly spent on an ANC-aligned event. It is reported that this official is suspected of having allegedly downloaded the R500,000 proof of payment for the event. In a statement on Monday, the minister indicated that she was looking into the issues affecting the integrity of the institution, which has in the past been dogged by controversy following previous allegations of poor governance and financial mismanagement. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ Minister of Higher Education Dr Nobuhle Nkabane. Image: Twitter "The Minister of Higher Education and Training, Dr Nobuhle Nkabane, has taken note of recent developments at the University of South Africa, including the alleged suspension of senior officials and ongoing concerns about governance and financial management. "The minister wishes to assure all stakeholders that the department is closely monitoring the situation and will be engaging with the university and supporting it in addressing any governance and operational shortcomings," she said. Nkabane's remarks come just over a week after AfriForum's private prosecution unit indicated that it has noticed a pattern in how the institution deals with some of its officials who have turned into whistle-blowers due to the prevailing atmosphere of concealing criminality within the higher echelons of the institution. As a result, the unit has confirmed that it now represents Donald Ndlovu, who was suspended as a senior manager within the institution's finance department and placed under cautionary suspension at the end of April. In a statement, spokesperson for the unit, Barry Bateman, revealed that since April last year, the unit has represented Dr Reshma Mathura, Unisa's acting vice principal finance and chief financial officer. "Despite being on suspension for more than a year, the disciplinary process is still ongoing. The unit understands that several investigations of Mathura's conduct have cleared her of corruption allegations that she received illicit payments from students. The unit suspects she was suspended for her role in exposing corruption and cooperating in a Hawks investigation of financial malfeasance at the institution," stated Bateman.

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