The Head of the Road Accident Fund (RAF), Collins Letsoalo, is facing renewed scrutiny following revelations of a R79 million lease deal flagged by the Special Investigating Unit (SIU). The deal has sparked concern over alleged irregular procurement processes used to secure new RAF offices in Johannesburg.
Letsoalo, who has led the embattled state entity through a series of controversies, is now under investigation for allegedly sidestepping procurement rules to finalize the lease agreement. On Monday, he addressed the media in a press briefing as calls for accountability intensified.
Collins Letsoalo
The lease controversy adds to a growing list of issues that have plagued Letsoalo’s leadership at the RAF. He previously came under fire for a failed attempt to dissolve the RAF’s attorney panel, which reportedly cost taxpayers millions of rands due to legal battles and service disruptions. His tenure has also been marred by questions around his qualifications and credibility, further eroding public trust.
According to the SIU, the R79 million lease is not an isolated incident. Investigators say it reflects a broader pattern of financial mismanagement at the RAF. This includes an alarming R340 million in duplicate payments to law firms, of which only a small portion has been recovered. The SIU believes these irregularities are symptomatic of deeper governance failures within the institution.
Although the full SIU report has not yet been released, it is expected to provide critical insights into the extent of the mismanagement and identify individuals who may be held accountable. The RAF, a state-run agency responsible for compensating victims of road accidents, has long struggled with financial instability and operational inefficiencies.
Letsoalo’s media briefing on Monday was seen as an opportunity to clarify his role in the leasing deal and respond to the allegations. However, critics argue that transparency and corrective action are long overdue.
With public confidence in the RAF at a low point, many are watching closely to see how the government and law enforcement agencies will respond. The outcome of the SIU investigation could determine not only Letsoalo’s future at the RAF but also signal whether meaningful reform is on the horizon for the troubled institution.