But will Letsoalo pitch up?
A showdown is scheduled to take place on Tuesday (25 November) between Collins Letsoalo and parliament’s Standing Committee on Public Accounts (Scopa) during the committee’s inquiry into maladministration at the financially distressed Road Accident Fund (RAF) – provided the former RAF CEO pitches up.
Doubts have been cast over a six-page letter dated 20 November 2025 that was allegedly sent to Scopa chair Songezo Zibi by attorneys apparently representing Letsoalo, which formally demanded that the committee “cease and desist from unlawful ‘oversight inquiry’ into the Road Accident Fund” and Letsoalo.
Zibi told Moneyweb on Monday the committee has not received any letter from Letsoalo’s attorneys, although “we have seen what is purported to be one circulating on WhatsApp groups”.
The letter demands that Scopa:
- Immediately terminate all proceedings relating to the RAF under the current inquiry;
- Refrain from issuing any summons or subpoena to Letsoalo pursuant to an unlawful process;
- Ensure that parliament establishes a lawfully-empowered structure should any further inquiry be legitimately required;
- Withdraw all defamatory statements made about Letsoalo; and
- Issue a formal written public apology for the unlawful disclosure of his residential address, acknowledge the resulting compromise of his personal security and cease any further dissemination of that address.
However, Zibi confirmed that the summons remains in force, and the committee will meet on Tuesday “to wait for him”.
“If he does not arrive, the committee will decide on its next steps.
“One option is to report him for criminal investigation.”
ALSO READ: Scopa summons former RAF CEO via social media
Committee maintains summons
Scopa made several unsuccessful attempts to get Letsoalo to voluntarily appear before the committee, after which it adopted a resolution to summons him.
It reported on Friday that he was summonsed on 5 November 2025 to appear before the committee on Tuesday.
Scopa said the sheriff made several attempts to serve the summons at Letsoalo’s known addresses, but was unsuccessful.
It said the summons has since been reissued by the Secretary to Parliament so that it can additionally be served electronically on several platforms, including parliament’s website, its X account, Instagram account, Facebook and LinkedIn pages.
ALSO READ: Axed Road Accident Fund staff await reviews after CEO’s exit
RAF’s fiscal position
The Medium-Term Budget Policy Statement (MTBPS) said the RAF remains a significant fiscal risk and its financial position is expected to deteriorate over the medium term.
The RAF’s liabilities are projected to increase from R369.7 billion in 2024/25 to R422.6 billion in 2027/28.
Over the same period, revenue from the RAF levy is expected to rise from R50.6 billion to R67.6 billion while expenditure is projected to grow more rapidly from R53 billion to R89.7 billion – widening the funding gap.
“A court-mandated requirement to process and pay claims within 14 days will add to cash-flow pressures.” it said.
This followed RAF interim board chair Kenneth Brown telling Moneyweb in an exclusive interview that the RAF’s liabilities could increase by between R300 billion and R400 billion because of its decision to revert back to its previous South African accounting standard.
The RAF board confirmed on 7 November 2025 it had placed the acting CEO, chief financial officer, chief governance officer, and the head in the office of the CEO on precautionary suspension with immediate effect to allow for an independent and unhindered investigation into certain administrative and governance matters within the organisation.
ALSO READ: ‘A very litigious character’: Scopa holds off on summoning Letsoalo to RAF inquiry
Inquiry reveals irregularities
The Scopa inquiry into the RAF heard about a litany of irregularities and management problems at the road agency from a host of witnesses.
These include claims that the RAF paid an estimated R22.8 billion in excess payments in just two financial years due to default judgments and inflated claims settlements because of the fund’s decision to terminate its panel of attorneys’ contracts.
The Special Investigating Unit (SIU) chief national investigations officer Zodwa Xesibe also told Scopa its investigation had uncovered an alternative bank account of the RAF containing R50 million, which is in the process of being recovered on behalf of the fund but the amounts in alternative RAF accounts at Investec ranged from R1 million up to R100 million.
It also heard that the RAF used to settle more than 250 000 claims with just over R43 billion, but can now only settle 63 000 claims with that amount, which means there is incredible financial leakage at the fund.
This article was republished from Moneyweb. Read the original here.
