Parliament’s Standing Committee on Public Accounts (SCOPA) says it wants action to be taken against management of the Road Accident Fund, for changing its accounting system when auditing its financial statement for 2020-2021 financial year.
The office of the Auditor General (AG) told Parliament that despite warning the Accounting Officer and management of the RAF that the system they used was not the correct method, the entity ignored the advice.
The AG says this has resulted in the RAF receiving an audit opinion of a disclaimer and an irregular expenditure to the tune of R 90 million due to the non-compliance with the Act.
Committee member, Bheki Hadebe says there must be consequences.
“Knowingly opt for something that was not catered for in directives. If they can share with us-we will be justified to seek to recommend that there should be consequences. Thank you chair.”
Last month, Road Accident Fund CEO, Collins Letsoalo, said some law firms have been making billions of rands from RAF claims, while road crash victims continue to suffer.
He was addressing the Black Lawyers Association in Polokwane in Limpopo, about the RAF’s financial turn-around strategy.
In the video below, Letsoalo said he wants to ensure that road accident victims are paid within 120 days: