Road Accident Fund South Africa: Latest News and Developments December 2025

The Road Accident Fund (RAF) continues to dominate headlines in South Africa as 2025 draws to a close, with ongoing legal battles, parliamentary inquiries, and systemic challenges plaguing the state-owned entity. This comprehensive update covers the most significant developments affecting the RAF and what they mean for road accident victims across the country.

Collins Letsoalo’s Legal Battles Continue to Impact RAF

Despite former RAF CEO Collins Letsoalo’s departure from the troubled entity earlier this year, his controversial tenure continues to cast a shadow over the organization. The latest development involves former RAF senior IT advisor Mothusi Lukhele, whose dismissal in November 2021 has resulted in protracted legal proceedings.

Lukhele was hired by the RAF under Letsoalo’s leadership but was fired just three months into his three-year contract. The dismissal came after Lukhele failed to comply with employment conditions requiring him to provide proof of police clearance certificates within specified timeframes. Significantly, the RAF discovered two pending theft cases against Lukhele – one reported at Johannesburg Central police station in 2020 and another at Sandton police station in 2021.

The Supreme Court of Appeal recently dismissed Letsoalo and the RAF’s application for reconsideration, ruling that any order regarding Lukhele’s contract would have no practical effect since his contract ended in July 2024. This decision represents another legal setback for the former CEO, whose tenure was marked by numerous controversies.

Parliamentary Inquiry Reveals Systemic Problems

The Standing Committee on Public Accounts (SCOPA) inquiry into the Road Accident Fund, launched in 2025, has uncovered disturbing evidence of financial mismanagement, dodgy tenders, oversight failures, and what investigators describe as “a culture of fear” within the organization.

The parliamentary probe, which examined events at the fund between April 1, 2020, and March 31, 2025, was initially focused on financial matters but expanded to reveal much broader systemic issues. The inquiry has highlighted:

• Questionable tender processes and procurement irregularities
• Failures in oversight and governance structures
• A workplace environment characterized by fear and intimidation
• Significant financial mismanagement affecting the fund’s ability to serve accident victims

Minister Creecy Takes Action: Board Dissolution and Executive Suspensions

Transport Minister Barbara Creecy has taken decisive action to address the RAF’s ongoing problems. In July 2025, she dissolved the Board of Directors of the Road Accident Fund, signaling the government’s recognition of the severity of the situation.

More recently, Minister Creecy defended the precautionary suspension of the RAF’s acting CEO and chief finance officer amid misconduct claims. These suspensions are part of broader efforts to clean house at the troubled entity and restore public confidence in its operations.

Legal Costs Mount as RAF Defends Employee Suspensions

The Road Accident Fund has spent a staggering R119 million on legal costs to defend the suspension of dozens of its employees, with R45 million paid out in recent months alone. This massive expenditure on legal fees comes at a time when the fund faces criticism for delays in compensating road accident victims.

The high legal costs raise questions about the fund’s priorities and resource allocation, particularly given its primary mandate to provide timely compensation to those injured in road accidents.

Addressing Claims About Foreign Nationals

Recent fact-checking by Africa Check has addressed claims that foreigners are “bleeding” South Africa’s Road Accident Fund dry. The investigation found that while the RAF paid out R18 billion to non-citizens from 2019/20 to 2023/24, there is no evidence supporting claims that this represents an inappropriate drain on the fund’s resources.

The fact-check provides important context for ongoing debates about the RAF’s financial challenges and helps separate legitimate concerns from unfounded claims about the fund’s operations.

RAF Continues to Face Legal Challenges

The Democratic Alliance has criticized the RAF for continuing to “break the law” while Minister Creecy “watches on.” The party argues that the RAF is denying road accident victims their rightful compensation, particularly regarding issues with the RAF1 form process.

These ongoing legal challenges highlight the complex regulatory and operational environment in which the RAF operates, and the need for comprehensive reform to ensure the fund can fulfill its mandate effectively.

Operational Changes: New Head Office Location

In a practical development, the RAF announced that it is moving its head office from Centurion to Hatfield in Tshwane, effective January 5, 2026. All services will be available at the new location, representing a significant operational change for the organization.

Festive Season Safety Campaign

Despite its internal challenges, the RAF continues to fulfill its public safety mandate. In December 2025, the fund launched a campaign urging road users to be aware and avoid causing trauma during the festive season, demonstrating its ongoing commitment to road safety awareness.

What This Means for Road Accident Victims

The ongoing challenges at the RAF have significant implications for road accident victims who depend on the fund for compensation. Key concerns include:

• Potential delays in claim processing due to internal disruptions
• Resource allocation issues as significant funds are spent on legal costs
• Uncertainty about service delivery during leadership transitions
• The need for improved oversight and governance to prevent future problems

Looking Ahead: Reform and Recovery

As 2025 concludes, the Road Accident Fund faces a critical period of reform and recovery. The parliamentary inquiry’s findings, combined with ministerial intervention and ongoing legal proceedings, suggest that significant changes are needed to restore the fund’s effectiveness and public trust.

Key areas requiring attention include:

• Strengthening governance and oversight mechanisms
• Improving procurement processes and tender management
• Addressing workplace culture and management practices
• Ensuring efficient and timely claim processing for accident victims
• Implementing robust financial controls and accountability measures

Conclusion

The Road Accident Fund’s challenges in 2025 highlight the urgent need for comprehensive reform of this critical state entity. While the parliamentary inquiry and ministerial interventions represent positive steps toward accountability, much work remains to be done to ensure the RAF can effectively serve South African road accident victims.

As we move into 2026, stakeholders will be watching closely to see whether the reforms and leadership changes can restore the fund’s operational effectiveness and public trust. The ultimate measure of success will be the RAF’s ability to provide timely, fair compensation to those who have suffered injuries in road accidents across South Africa.

Stay updated with the latest Road Accident Fund news and developments by following our regular coverage of this important story.