The Road Accident Fund (RAF) has strongly denied allegations of procurement irregularities in the leasing of its Johannesburg regional office, following a series of investigative articles published by the Sunday Times. In a detailed media statement issued on 21 April 2025, the RAF reaffirmed the legality and cost-effectiveness of the office lease, while criticising the publication for what it describes as a “campaign to mislead the public.”
The article in question, titled “Treasury Strikes Back”, was published on 20 April and follows an earlier piece dated 13 April that raised suspicions about the RAF’s five-year-old lease agreement. The RAF argues that both articles are based on misinterpretations of publicly available information and alleged whistleblower reports that lack factual support. CEO Collins Letsoalo, who led a recent media briefing on the matter, stated that all related documentation – including the lease agreement, National Treasury correspondence, and internal motivation for procurement deviation – had been transparently shared with the media.
“The lease was between government entities and saved the state R17 million,” the RAF noted, pointing out that the landlord is the Government Employees Pension Fund (GEPF), represented by Mowana Properties (Pty) Ltd, a wholly owned entity of Pareto Limited, which in turn is fully owned by the GEPF.
The RAF also questioned the credibility of the Sunday Times’ claims around so-called “preliminary findings” from the Special Investigating Unit (SIU), stating that no such legal mechanism exists under the SIU Act. “We find it troubling that the newspaper chose not to wait for formal investigation outcomes but instead sought to weaponise incomplete narratives,” said the Fund.
The RAF concluded by reaffirming its commitment to prioritising state-owned properties for office leases, particularly in the wake of economic pressures in the post-COVID commercial property market. It cited a recent lease agreement with the Passenger Rail Agency of South Africa (PRASA) for its Pretoria office as part of this strategy.
Despite repeated invitations to engage with the facts during the press briefing, the Sunday Times did not attend. The RAF has now opted not to entertain further queries from the publication regarding the matter, citing a lack of good faith in their reporting.
