The High Court in Johannesburg has set aside a controversial Passenger Rail of SA (Prasa) tender for locomotives worth R2.6 billion.
This comes after the state-owned rail agency’s board petitioned the court in 2015 to review and set aside the deal with Swifambo Rail Leasing to secure Afro4000 locomotives. The Spanish-built locomotives were found to be too tall for the country’s rail network.
The contract signed in 2013 with Swifambo was awarded during the now deputy finance minister Sfiso Buthelezi’s chairmanship of the Prasa board.
Its awarding has been found to be corrupt by Judge J Francis.