CAPE TOWN, Western Cape — A highly anticipated SCOPA draft report has officially flagged massive irregularities regarding Road Accident Fund security spending, revealing that millions in public funds were diverted to bolster the protection detail of former CEO Collins Letsoalo.
The Standing Committee on Public Accounts (SCOPA) is currently deliberating on its findings following a comprehensive inquiry into the state entity. The ongoing investigation centers on severe allegations of maladministration, financial irregularities, and deep-seated governance failures at the Road Accident Fund (RAF).
Among the most alarming financial discrepancies outlined in the draft report is the revelation that more than R3 million was spent specifically on Letsoalo’s private security details. This expenditure vastly exceeded the R480,000 initially approved for his protection by the RAF board.
Unsubstantiated Security Expansion and Armored Vehicles
The draft report details an unauthorized expansion of Letsoalo’s close protection team, which ballooned from just two personnel to nine. According to the committee, this expansion triggered substantial public expenditure that was not properly accounted for or approved.
The financial breakdown presented to the committee includes an operational expenditure of approximately R20.3 million, alongside close protector salaries amounting to R7.18 million. Furthermore, the unauthorized procurement of an armored vehicle was tied to these expanded security arrangements.
Crucially, the committee noted that the decision to expand the former CEO’s security detail and purchase the armored vehicle was entirely unsubstantiated. Investigators found no evidence to suggest that Letsoalo’s life was in any imminent danger, rendering the exorbitant security spending unjustified and unsupported by the board’s initial arrangements.
SCOPA Chairperson Addresses Governance Concerns
Addressing the financial discrepancies during the deliberations, SCOPA Chairperson Songezo Zibi provided vital context regarding the board’s initial budget. Zibi acknowledged that the R480,000 originally set aside for executive protection was inadequate for the level of security prescribed.
“R480,000 for the level of protection that was being prescribed was simply too low,” Zibi stated, noting that the budget was unrealistic both then and now.
However, the SCOPA Chairperson emphasized that inadequate budgeting does not justify bypassing government regulations. Zibi stressed that while the genuine security concerns of government officials must be respected, proper governance, procurement, and administrative processes must always be followed without exception.
The parliamentary committee is scheduled to continue its deliberations on the RAF inquiry draft report this coming Wednesday.
