Prasa
Peters details failed Swifambo locomotive testing at state capture commission
Peters said she saw reports that the Swifambo Locomotives didn’t meet South African standards and they couldn’t fit in the existing locomotives workshop.
The agency has already served notices to people who have built shacks on the railway line but have not moved yet.
Mbalula's response comes after a report by investigative group GroundUp stated that Zolani Matthews' appointment is against the company's age policy.
Minister Mbalula said due process was followed when the appointment was made.
The rail agency’s policy dictates that employees should retire at 63. Zolani Matthews is 64.
Newly appointed Prasa group CEO Zolani Matthews said he would work hard to ensure the agency fulfills its mandate.
This week, cabinet approved the appointment of Zolani Matthews who will be at the helm of Prasa.
This week cabinet approved the appointment of Zolani Matthews who will be at the helm of Prasa after the agency had six acting group CEOs since the 2015 departure of Lucky Montana.
The commission heard evidence by liquidators and forensic investigators who looked at money flows from the company that appear to have been a front for German company Vossloh Rail.
But he said the liquidators were negotiating a settlement that would benefit the state-owned enterprise for up to R1.5 billion.
This follows the failure by the former director of Swifambo Rail Auswell Mashaba to appear after he was summoned to testify on Wednesday.
Voslooh was contracted by Swifambo to supply the 70 locomotives, that were ordered by the Passenger Rail Agency of South Africa (Prasa) for R3.5-billion.
DCJ Zondo made the comments on Wednesday after testimony by forensic investigator Marc Sacks about how the company was formed specifically for the r3.5billion locomotives contract from Prasa.
Deputy Chief Justice Raymond Zondo has instructed the secretary of the commission to lay a criminal complaint against Auswell Mashaba.
She said she understood that the investigations were important to chase wrongdoers, but the board was committing another wrong.
Peters said she and former president Jacob Zuma were part of a meeting with board chair Popo Molefe about the change of CEO after Lucky Montana’s resignation.
Former Transport Minister Dipuo Peters said she believed Montana was bluffing when he resigned as CEO and that’s why he was fighting to be reinstated.
The committee heard how billions of rands were under investigation, including a R2.3 billion contract for 20 locomotives that were never delivered.
Prasa was back in the spotlight on Monday with evidence from Parliament’s former transport committee chairperson Dikeledi Magadzi.