Staff Reporter
The Special Investigating Unit (SIU) said on Sunday it had secured an interim preservation order freezing two properties linked to former Passenger Rail Agency of South Africa (PRASA) chief executive Lucky Montana, as it pursues civil proceedings related to a R5.6 billion IT security tender.
The Special Tribunal order prevents Montana from selling, transferring, leasing, encumbering or otherwise dealing with a property in Hurlingham, Johannesburg, bought for R13.5 million, and another in Waterkloof, Pretoria, purchased for R2.25 million.
The Tribunal also directed the Registrar of Deeds to place caveats on the title deeds to prevent unauthorised transactions involving the properties.
The SIU said its investigation had uncovered a “direct and uninterrupted money trail” allegedly linking the purchase of the properties to proceeds associated with PRASA’s Integrated Security Access Management System contract awarded to Siyangena Technologies, a subsidiary of TMM Holdings.
The contract covered the installation, supply and maintenance of security and passenger-management equipment at train stations. The equipment included access gates, electronic display boards and public address systems.
The project was initially intended to upgrade selected stations ahead of the 2010 FIFA World Cup, reduce fare evasion and accommodate increased commuter numbers during the tournament. It was later extended to other stations that had not been upgraded because of budget constraints.
PRASA awarded the first phase of the contract to Siyangena on April 1, 2011, for R1.96 billion. Four contracts, including extensions, were concluded between the rail agency and the company, taking their total value to R5.63 billion by April 2016.
The SIU said its investigation found that Montana’s legitimate income could not account for the purchase of either property.
Bank records allegedly connected the funds used for the acquisitions to payments made by companies in the TMM group and Precise Trade and Invest 02. The director of Precise Trade and Invest was also the lawyer representing the TMM group of companies.
Regarding the Waterkloof property, the SIU said Precise Trade and Invest received R1.85 million from ESS, a company within the TMM group, and R4 million from TMM Holdings on June 18, 2014.
Precise Trade and Invest then transferred R2.25 million to the attorneys handling the property transfer. The property was subsequently bought and registered in Montana’s name in 2014.
The Hurlingham property was allegedly acquired through a series of transactions involving Precise Trade and Invest, TMM Holdings and Midtownbrace, a company incorporated in Botswana.
The SIU said Precise Trade and Invest transferred R2 million to the transferring attorneys’ trust account on March 23, 2015.
On April 23 that year, Siyangena transferred R13 million to TMM Holdings after receiving substantial payments from PRASA. TMM Holdings transferred R12 million to Midtownbrace on the same day, despite Midtownbrace’s account previously having a zero balance.
Midtownbrace later transferred R11.5 million to the transferring attorneys, enabling the purchase of the Hurlingham property. It was registered in Montana’s name in July 2015 for R13.5 million. The house previously situated on the property was subsequently demolished by Montana.
The Tribunal has ordered the respondents to appear on 11 August 2026 to explain why the interim preservation order should not be made final. It also ordered the SIU to institute its main proceedings against Montana within 30 days.
The investigation is being conducted under Proclamation R.153 of 2024, which authorises the SIU to investigate allegations of corruption and maladministration involving PRASA between January 1, 2010, and February 16, 2024.
“The SIU welcomes the Tribunal order and regards the decision as an important step in safeguarding assets pending the finalisation of civil recovery proceedings,” it said.
“The Unit remains committed to recovering financial losses suffered by the State, holding those responsible accountable, and protecting public resources from corruption.”
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