The South African cabinet has approved the appointment of Bongisizwe Mpondo as Administrator for the Passenger Rail Agency for a period of twelve months.
Cabinet also approved the dissolution of the interim board of PRASA and placing the entity under administration as announced last week by Transport Minister Fikile Mbalula.
Minister in the Presidency Jackson Mthembu briefed the media on the outcomes of last week’s Cabinet meeting.
“The Auditor-General’s recent outcomes for 2018/19 reported serious governance failures at PRASA, lack of effective financial management process resulting in PRASA obtaining a Disclaimer Audit Outcome. To this effect, Cabinet approved the appointment of an Administrator, Mr Bongisizwe Mpondo, to administer the affairs of the entity for 12 months. This intervention will contribute in restoring the effective performance of PRASA,” says Mthembu.