The Passenger Rail Agency of South Africa (PRASA) has placed contracts with companies owned by businessman Lawrence Mudzinganyama under legal review. The state-owned entity’s decision came after a video circulated widely on social media platforms showing Mudzinganyama verbally threatening a group of women.
The video, which gained public attention in late 2021, appears to show Mudzinganyama in a restroom engaged in a heated confrontation. In the footage, he is seen making threats, including references to using a firearm, toward several women. The incident prompted public calls for accountability and for government entities to reassess their business relationships with his companies.
At the time, PRASA’s board chairperson, Leonard Ramatlakane, confirmed the agency’s response to the matter. In a statement reported by multiple South African news outlets, including SABC News, Ramatlakane announced that PRASA’s legal department would review all contracts held by Mudzinganyama’s companies, primarily the Shuma Group. The purpose of the review was to determine if the conduct depicted in the video constituted a breach of contract or brought the rail agency into disrepute.
“We cannot be associated with a person who is… treating women in the manner that he did,” Ramatlakane stated in a public interview, confirming the agency’s stance.
Shuma Group and its subsidiaries held security and other service-related contracts with PRASA. The legal review was initiated to examine the terms and conditions of these agreements and to assess PRASA’s legal options, which could include termination.
Following the video’s circulation and the subsequent public reaction, Mudzinganyama issued a public apology. In a statement, he expressed remorse for his actions, describing his language and behavior as unacceptable and indefensible. He stated that he had entered an anger management program and was seeking professional help.
The incident also drew attention from political figures and civil society organizations, many of whom called for the immediate cancellation of all government contracts with the Shuma Group. The matter was raised in parliamentary discussions concerning the conduct of individuals and companies that provide services to state-owned enterprises.
PRASA has not issued a public update on the final outcome of the legal review. The incident has contributed to ongoing discussions in South Africa regarding corporate governance and the ethical conduct expected of individuals leading companies that receive public funds.
