Transport Ministry mulling possible strategy to put out RAF fires
RAF has, for long, been plagued with claims of governance failures, financial mismanagement and procurement irregularities.
The Road Accident Fund (RAF) headquarters in Centurion, Gauteng. Picture: Mongezi Koko/EWN
JOHANNESBURG - The Transport Ministry says it’s still mulling possible interventions at the troubled Road Accident Fund (RAF) as a governance crisis persists at the institution.
This follows longstanding challenges at the RAF, which has again been thrust into the spotlight by the board’s recent decision to suspend Chief Executive Officer (CEO) Collins Letsoalo.
RAF has, for long, been plagued with claims of governance failures, financial mismanagement and procurement irregularities.
Earlier this week, the RAF rescinded a decision to place Letsoalo on special leave and replaced it with a suspension, citing insubordination.
Some members of Parliament (MPs) then called for the board’s removal, claiming the move would only create more chaos at an already deeply troubled institution.
The transport ministry has now called for a meeting with the RAF board.
It says the meeting will evaluate the current board’s ability to restore good governance and effective administration at the entity so that it fulfils its primary purpose of compensating road accident victims on time.
A decision will then be taken after Tuesday’s meeting.
The department has also reiterated plans to finalise the Road Accident Benefit Scheme bill.
The bill is set to introduce a no-fault system to make it easier for road accident victims to access the benefits without costly legal bills.