Road Accident Fund Crisis Deepens: R239.4 Million Paid to Foreign Nationals Amid Parliamentary Inquiry

RAF Under Fire: Latest Developments in South Africa’s Road Accident Compensation Crisis

The Road Accident Fund (RAF) continues to dominate headlines in South Africa as new revelations emerge about massive payouts to foreign nationals and ongoing parliamentary investigations. With over R17 billion paid out in just six months and mounting criticism from political parties, the RAF crisis has reached unprecedented levels.

R239.4 Million Paid to Foreign Nationals in Six Months

In a shocking revelation, the RAF disclosed that it spent R239.4 million on road accident claims by foreign nationals between April and September 2025. This figure includes all claim expenditure related to foreign claimants, sparking intense debate about the use of South African taxpayers’ money.

RAF spokesperson McIntosh Polela confirmed these figures to IOL News, stating that “from April 2025 to September 2025, R239.4 million was paid towards claims by foreign nationals.” This amount represents a significant portion of the RAF’s budget, raising questions about prioritization and resource allocation.

Limpopo Bus Crash Highlights Foreign National Claims Controversy

The debate intensified following the tragic bus crash in Limpopo that claimed 43 lives. The bus, carrying 91 passengers from Gqeberha to Zimbabwe and Malawi, crashed on the N1 near Louis Trichardt. The incident has renewed discussions about foreign nationals’ access to RAF compensation.

The RAF clarified that while victims are eligible to lodge claims, each case must be assessed individually and meet specific legal criteria. The organization emphasized that liability is not automatic and must be established according to the RAF Act.

Political Parties Demand Accountability

The Bolsheviks Party of South Africa has strongly condemned the RAF for allegedly prioritizing foreigners over South Africans. Communications manager Mandla Mamedzi described the situation as “yet another example of a state entity collapsing under maladministration and deliberate mismanagement.”

ActionSA MP Alan Beesley also raised concerns, questioning why taxpayers’ money is being used to compensate foreign nationals. “It is quite a big concern that we use taxpayers’ money to pay foreigners,” Beesley stated during parliamentary proceedings.

SCOPA Parliamentary Inquiry Continues

The Standing Committee on Public Accounts (SCOPA) is currently conducting its fourth week of inquiry into RAF financial matters. The investigation has revealed shocking details about the fund’s operations, including:

• R41 million owed to medico-legal experts by the end of September 2025
• Massive payment delays affecting service providers
• Evidence of financial mismanagement and irregular payments
• Concerns about corruption and lack of transparency

RAF Pays Out R17 Billion in Six Months

Despite the controversies, the RAF’s new interim board has been aggressive in paying out claims older than 180 days. The organization paid out over R17 billion in six months, demonstrating its commitment to clearing the backlog of outstanding claims.

Acting Transport Minister Kgosientsho Ramokgopa revealed that a total of R42.94 billion was paid across 128,716 claims during the 2024/25 financial year, with R548 million specifically allocated to foreign national claims.

Outstanding Claims and Processing Challenges

The RAF faces significant challenges in processing claims efficiently. Of the 222 foreign national claims registered, only 17 have been successfully settled as of September 2025. The remaining claims are distributed as follows:

• 78 claims repudiated, objected to, or flagged as duplicates
• 12 claims with offers in progress
• 115 claims open and in progress

Calls for Comprehensive Reform

Political parties and civil society organizations are demanding comprehensive reforms to address the RAF crisis. Key demands include:

• Full transparency in all RAF financial records
• Independent forensic audit of foreign-linked payments
• Suspension of officials involved in irregular approvals
• Implementation of stricter controls and accountability measures

Legal Framework and Compliance

The RAF operates under the Road Accident Fund Act, which mandates compensation for loss or damage wrongfully caused by motor vehicle accidents. However, the organization must also comply with Section 42 of the Immigration Act, which prohibits aiding illegal foreigners.

RAF spokesperson McIntosh Polela emphasized that the organization is “legally obligated to compensate anyone injured in accidents within South Africa, regardless of their legal status,” but payments must not contravene other laws.

Looking Ahead: Reform and Recovery

As the SCOPA inquiry continues and political pressure mounts, the RAF faces a critical period of reform and restructuring. The organization must balance its legal obligations with public accountability while addressing systemic issues that have led to the current crisis.

The coming months will be crucial in determining whether the RAF can restore public confidence and implement the necessary reforms to ensure sustainable and equitable compensation for road accident victims in South Africa.

Key Takeaways:

• RAF paid R239.4 million to foreign nationals in six months
• Parliamentary inquiry reveals R41 million owed to medical experts
• Political parties demand accountability and transparency
• Only 17 of 222 foreign claims have been settled
• Comprehensive reforms needed to address systemic issues