‘Road Accident Fund stopped defending court cases, racking up billions in claims’ - Songezo Zibi

702's Bongani Bingwa is joined by Songezo Zibi, Chairperson of the Standing Committee on Public Accounts.

Listen below:

The CEO of the Road Accident Fund (RAF), Collins Letsoalo, has been placed on special leave.

The decision was taken by the board following an investigation into corruption allegations at the state-owned fund.

The embattled RAF is currently being probed by the Special Investigating Unit (SIU) for several suspicious payments made to law firms.

Letsoalo, whose term is due to end in August, will still receive his full salary while on suspension.

Zibi says this latest revelation comes amid ongoing struggles with critical vacancies, questionable litigation practices, and concerns over suitability in key roles.

ALSO READ: Road Accident Fund battles to prevent payments to illegal foreigners

"This is not an organisation you can say is in a good space. Critical posts in the executive have not been filled for over two and a half years."

- Songezo Zibi, Chairperson - Standing Committee on Public Accounts

"They have not had a Head of Legal Services for over two and a half years... They don't have a Chief Claims Officer."

- Songezo Zibi, Chairperson - Standing Committee on Public Accounts

Zibi says many cases are no longer even being defended in court, resulting in millions being racked up in default claims.

They can no longer claim law firms are 'milking' the fund dry, he says.

"... they've stopped defending matters in court and instead racked up billions in claims."

- Songezo Zibi, Chairperson - Standing Committee on Public Accounts

"At the time the SIU presented to us in Parliament, they had accumulated over R4 billion in default claims."

- Songezo Zibi, Chairperson - Standing Committee on Public Accounts

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