Collins Letsoalo suspended as CEO of the Road Accident Fund amid corruption allegations
Letsoalo, who appeared before the Standing Committee on Public Accounts (Scopa) this morning, was suspended with full pay.
He has been implicated in several allegations of financial mismanagement and corruption, primarily centred around a controversial R79 million lease deal for the offices in Johannesburg.
A preliminary report by the Special Investigating Unit (SIU) found that Letsoalo interfered with the procurement process by overturning a bid committee's recommendation to favour Mowana Properties, a losing bidder linked to the Government Employees Pension Fund, which ultimately secured the lease agreement.
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3 days ago
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IOL News
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SIU launches investigation into fraud and corruption at Chieta
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IOL News
5 days ago
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RAF Situation: Issues of leadership, accountability, and justice
Collins Letsoalo, was placed on special leave on May 27, 2025, and formally suspended a week later. Image: Thobile Mathonsi/Independent Newspapers EMBATTLED Road Accident Fund (RAF) chief executive, Collins Letsoalo, was placed on special leave on May 27, 2025, and formally suspended a week later. Initially, the issue involved allegations of financial irregularities, including a R79 million lease under investigation by the Special Investigating Unit (SIU). This evolved into charges of insubordination after he did not appear before Parliament's Standing Committee on Public Accounts (Scopa). Letsoalo claims that his removal is due to his disrupting entrenched practices within the organisation. He has accused legal elites, some now judges, of misusing RAF resources. He has requested an independent commission of inquiry and cited threats to his safety and alleged bias within the judiciary. 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Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ Effective crisis management requires consistent messaging, transparency, and a unified response. The RAF board has shifted its stance from financial misconduct allegations to claims of insubordination. Meanwhile, Letsoalo has publicly shared his side, resulting in ongoing media coverage. This has led to a decline in trust. When institutions fail to manage their narratives effectively, confusion and reputational damage can ensue. The SIU investigation into the R79m lease raises serious concerns about RAF's internal controls. The charge of insubordination against Letsoalo for not appearing before Parliament suggests potential issues with how political accountability is managed within the institution. Public institutions should operate based on principles rather than personal discretion. A significant aspect of Letsoalo's defence involves questioning judicial impartiality. Accusations against judges raise broader issues beyond individual HR matters. Perceptions of judicial bias can undermine public confidence in the courts. Letsoalo has called for a non-judicial inquiry into RAF-related rulings, highlighting concerns about public trust in the judiciary. Amid these developments, the primary beneficiaries of the RAF, accident survivors, are often overlooked. While internal disputes continue, many South Africans await compensation and rehabilitation. The RAF's mission includes alleviating the suffering of those affected by accidents. Continued delays in resolving this crisis impact justice and support for these individuals. The RAF's current situation reflects broader issues within South African governance. Without reform, the institution risks further dysfunction. There is a need for public institutions to focus on serving the people and for leaders to maintain high standards of integrity. The effectiveness of the RAF in protecting vulnerable individuals must be restored. Whether Letsoalo is seen favourably or unfavourably will be determined through legal processes. However, the current state of the RAF indicates an urgent need for improvement. * Nyaniso Qwesha holds an MBA. ** The views expressed here do not reflect those of the Sunday Independent, IOL, or Independent Media.
