South Africa: Montana Runs Out of Luck - SIU Freezes R16-Million Properties

What the report says

AllAfrica, republishing GroundUp, reported that South Africa’s Special Investigating Unit has secured an interim preservation order against two properties linked to Lucky Montana, the former head of the Passenger Rail Agency of South Africa. The Special Tribunal order, issued by Judge Bernard Ngoepe on 8 July, prevents dealings involving a R13.5 million property in Hurlingham, Johannesburg, and a R2.25 million property in Waterkloof, Pretoria.

According to the report, the order follows an SIU investigation into money flows connected to PRASA’s Integrated Security Access Management System contract, awarded to Siyangena Technologies, a subsidiary of TMM Holdings. The contract covered public address systems, access gates and electronic display boards at train stations, including work tied to station upgrades around the 2010 FIFA World Cup period. PRASA first awarded Siyangena a contract worth nearly R2 billion in April 2011; with later extensions and additional contracts, the value had reached R5.6 billion by April 2016.

The SIU said Montana’s lawful earnings did not explain the purchases and alleged the funds were linked to payments involving TMM group companies and Precise Trade and Invest 02. GroundUp reported that Precise Trade and Invest received payments in June 2014 from ESS and TMM Holdings before money was transferred to conveyancers for the Waterkloof purchase in Montana’s name. The Hurlingham property was also allegedly acquired through linked transactions involving Precise Trade and Invest, TMM Holdings and Botswana-registered Midtownbrace.

The order is interim. Montana and the other respondents have until 11 August to make submissions opposing it; otherwise, it may be confirmed as final.