Road Accident Fund in Crisis: Board Dissolved, CEO Suspended, and Parliament Launches Inquiry – July 20, 2025 Update

Summary: The Road Accident Fund (RAF) in South Africa faces a major shake-up as Minister Barbara Creecy dissolves the board, the CEO is suspended, and Parliament launches a full inquiry into financial mismanagement. This article summarizes the latest developments and what they mean for the future of the RAF.

Minister Dissolves RAF Board Amid Governance Crisis

On July 15, 2025, Minister of Transport Barbara Creecy announced the dissolution of the Road Accident Fund’s board. This decisive action follows months of mounting concerns over governance failures and persistent financial mismanagement within the RAF (source).

CEO Suspended as Allegations Surface

Collins Letsoalo, the CEO of the RAF, has been suspended amid allegations of misconduct and mismanagement. The suspension is part of a broader effort to address systemic issues and restore public trust in the fund (source).

Parliamentary Inquiry and SCOPA Investigation

Parliament has initiated a comprehensive inquiry into the RAF’s financial affairs. The Standing Committee on Public Accounts (SCOPA) has adopted terms of reference for the investigation, which is set to begin in mid-September 2025 (source). The inquiry aims to uncover the root causes of the fund’s financial instability and recommend corrective measures.

Calls for a Robust Clean-Up

There is growing consensus among political parties, civil society, and the public that the RAF requires a robust clean-up. ActionSA and the Democratic Alliance (DA) have both welcomed the dissolution of the board and are calling for full accountability and transparency in the ongoing investigations (source).

What Lies Ahead for the RAF?

The coming months will be critical for the RAF as new leadership is appointed and the parliamentary inquiry unfolds. Stakeholders are hopeful that these interventions will lead to meaningful reforms and improved service delivery for road accident victims in South Africa.

Stay tuned for daily updates on the Road Accident Fund and related news.