Zibi warns dissolved board of RAF must be replaced with a capable one
Minister of Transport Barbara Creecy on Tuesday dissolved the board of the government funded entity, citing governance and operational challenges.
Chairperson of Parliament's Standing Committee on Public Accounts Songezo Zibi in discussion on initiating an inquiry into maladministration at the Road Accident Fund. Picture: Parliament/Zwelethemba Kostile.
JOHANNESBURG - Chairperson of Parliament’s Standing Committee on Public Accounts (SCOPA) Songezo Zibi has warned that the dissolved board of the Road Accident Fund (RAF) must be replaced with one that is capable.
Minister of Transport Barbara Creecy on Tuesday dissolved the board of the government-funded entity, citing governance and operational challenges.
The board appeared before SCOAP earlier this year, where it was revealed, among others, that the head of legal does not have a law degree.
The oversight committee launched an inquiry to investigate allegations of maladministration, financial impropriety and the misuse of public funds at the embattled entity.
At the same time, RAF’s CEO, Collins Letsoalo, was suspended earlier this year for alleged corruption and failure to appear before SCOPA.
Zibi said the dissolution of the board came as no surprise.
“We’ve noted as a committee a number of underperformances by the board in overseeing the Road Accident Fund. We’ve highlighted the numerous vacancies in critical posts. The accumulation of default judgments that the Road Accident Fund does not defend that amount to R5 billion at the moment at a rate of up to 100 million per week. We had said in our committee that this board is failing so the decision is not surprising.”
Zibi said the board must be replaced by one that is credible.
“It’s important that whoever steps in on an interim basis is capable, experienced and strong-willed because it doesn’t help to replace one weak and problematic board with another.”