Prasa weighs legal action against Auditor-General, explores diesel train expansion

THE Passenger Rail Agency of South Africa (Prasa) is considering legal action against the Auditor-General (AG) following a dispute over audit findings linked to its Global System for Mobile Communications Railway (GSM-R) signalling contracts.

- BANELE GININDZA

PRASA'S acting chief financial officer Brian Alexander said management had addressed all issues raised during the 2023/24 audit.

The AG recently flagged the contracts for irregular expenditure, citing procurement noncompliance and other deficiencies. However, Prasa has strongly disputed these findings, maintaining that it received a clean regulatory audit outcome for the 2023/24 financial year.

Presenting to Parliament's Standing Committee on Public Accounts (Scopa), Prasa's acting chief financial officer Brian Alexander said management had addressed all issues raised during the 2023/24 audit.

"Management responded to the findings, resolved them, and no irregularities were identified in the 2023/24 regulatory audit,” Alexander said.

"In the subsequent financial year, the same tenders were then re-audited, and over and above the findings that were raised in the 2023/24 financial year, there were additional findings that were raised in the 2024/25 financial year."