Road Accident Fund Update: Board Dissolved, Interim Leadership Appointed, and CEO’s Contract Ends

Road Accident Fund Update: Board Dissolved, Interim Leadership Appointed, and CEO’s Contract Ends

Date: August 12, 2025

The Road Accident Fund (RAF) in South Africa is undergoing major changes following a series of governance and operational crises. Here are the latest developments:

• Suspended CEO’s Contract Ends: Collins Letsoalo, the controversial suspended CEO of the RAF, is no longer employed by the fund. His contract expired last week, following a period of suspension for alleged insubordination and failed legal challenges to overturn his suspension.
• RAF Board Dissolved: Minister of Transport Barbara Creecy has dissolved the RAF board, citing persistent governance failures, costly litigation, mishandling of executive suspensions, frequent default judgments, and the board’s inability to fill critical executive positions. These issues have severely undermined the RAF’s ability to fulfill its mandate.
• Interim Board Appointed: An interim board, chaired by Kenneth Brown, has been appointed to restore governance and financial stability. The interim board is tasked with addressing the claims backlog, filling executive vacancies, and cooperating with ongoing investigations.
• SIU Investigation Expanded: The Special Investigating Unit (SIU) is expanding its investigation into the RAF to cover recent events, including issues around payments, contingent liabilities, and complaints from claimants.
• Road Accident Benefit Scheme Bill: The Department of Transport is prioritizing the finalization of the Road Accident Benefit Scheme Bill. This bill aims to introduce a no-fault system and a defined schedule of benefits, making it easier for road accident victims to access compensation without costly legal battles.

Implications for Claimants and the Public: The recent changes are intended to restore stability, transparency, and efficiency at the RAF. The government’s stated commitment to reform and the appointment of an interim board signal a renewed focus on resolving the claims backlog and improving service delivery for road accident victims.

Sources: Moneyweb, South African Government

Stay tuned for further updates as the situation develops.