Collins Letsoalo, CEO of the Road Accident Fund (RAF), has been placed on temporary suspension following corruption allegations related to a R79 million office lease agreement. The suspension comes as the Special Investigating Unit (SIU) examines possible irregularities in the leasing of the RAF’s Johannesburg headquarters.
According to sources, a preliminary SIU report suggests Letsoalo may have influenced a bid committee to favor Mowana Properties in the lease deal. The probe was reportedly triggered by a whistleblower complaint to the Public Protector, which also raised concerns over tenders for cleaning, security, and legal services awarded during Letsoalo’s tenure.
Letsoalo has denied any wrongdoing, dismissing the investigation as a “fishing expedition” and maintaining that the lease agreement was above board, motivated by safety and cost considerations. He attributed the allegations to a disgruntled former employee.
This development follows Letsoalo’s own previous warnings about systemic fraud at the RAF, including fraudulent claims by law firms that have strained the fund’s resources. The SIU recently recovered R318 million in duplicate payments, highlighting ongoing challenges at the institution.
Neither the RAF nor the SIU has officially commented on the suspension. As investigations proceed, stakeholders await further clarity on Letsoalo’s future and the organization’s next steps in addressing governance concerns.
