- APRAV describes a five-point plan within the RAF that allegedly misrepresented finances and obstructed legitimate claims.
- The measures are backed by affidavit evidence from former RAF actuarial manager Itayi Charakupa, submitted to the Standing Committee on Public Accounts (SCOPA).
- APRAV urges the Minister of Transport to withdraw IPSAS 42, repeal Board Notice 271 of 2022, and restore the previous RAF 1 claims process.
The Association for the Protection of Road Accident Victims (APRAV) is urging Minister of Transport, Barbara Creecy, to take urgent action, alleging that a covert five-point plan within the Road Accident Fund (RAF) is distorting the entity’s financial position and actively obstructing legitimate claims from victims.
APRAV deputy chairperson Ngoako Mohlaloga stated that the strategy created “an optical illusion of solvency while hollowing out the Fund from within.” He pointed out that money was redirected through tenders and contracts that did not improve the Fund’s ability to deliver justice, leaving victims and taxpayers disadvantaged.
The APRAV statement followed affidavit evidence from former RAF actuarial manager Itayi Charakupa, submitted to SCOPA, which is conducting an inquiry into the financial management and governance of the RAF. APRAV, in its statement, identifies five coordinated measures that allegedly harmed the Fund’s operations and finances.
Five coordinated measures identified
The first measure was the non-renewal of contracts for panel attorneys. APRAV states that this weakened the RAF’s ability to defend and settle claims, leaving thousands of cases unresolved.
The second measure involved cutting the workforce. APRAV claims that experienced legal and administrative staff were replaced with short-term contract workers, leading to a loss of institutional knowledge, reduced accountability, and slower claim processing times.
Third, the implementation of IPSAS 42 is highlighted. Charakupa’s affidavit, particularly paragraphs 80 and 105, shows that the Fund used an accounting standard intended for welfare programs to “erase billions in unpaid obligations” from its balance sheet.
The statement indicates that liabilities under the previous IFRS 4 framework were about R356 billion, while after IPSAS 42, they appeared as R29 billion. The Auditor-General reportedly refused to approve the accounts due to “materially misstated” figures.
The fourth measure was the introduction of a revised RAF 1 claim form under Board Notice 271 of 2022. APRAV states that the new form requires multiple supporting documents, such as medical-legal reports, SARS returns, and SASSA letters. Courts have found that these requirements made it “near-impossible” for victims to submit claims.
Finally, APRAV points out Board Notice 271 itself as a measure that allowed the RAF to outright reject incomplete submissions. The association argues this effectively locked many legitimate claimants out of the system.
Reported impact on victims and the public
APRAV claims that the total impact of these measures has been devastating. According to their statement, victims who previously received settlements within months now face delays lasting years. Legal and medical professionals supporting the claims process reportedly remain unpaid while Parliament and the public were misled about the Fund’s stability.
“The switch to IPSAS 42 and the administrative chokeholds that followed were not administrative errors,” Mohlaloga said. “They were part of a deliberate pattern to conceal insolvency and manage optics rather than outcomes. It is a betrayal of both public trust and statutory duty.”
Calls for ministerial intervention and parliamentary oversight
APRAV welcomed the recent suspension of individuals linked to the creators of the five-point plan, but stressed that partial action is not enough. Mohlaloga stated that the minister must urgently withdraw IPSAS 42, repeal Board Notice 271 of 2022, and reinstate the previous RAF 1 claims process to restore the Fund's capacity and trust.
APRAV also commended the ongoing parliamentary inquiry led by SCOPA into the RAF, describing it as “the most thorough and objective investigation into the RAF’s conduct in more than a decade.” APRAV chairperson Pieter du Bruyn noted that “in over 11 years of APRAV’s active participation in parliamentary processes, this is the first time we have seen such depth, professionalism, and bipartisan commitment to uncovering the truth.”
Mohlaloga concluded that APRAV intends to fully cooperate with Parliament and oversight bodies, providing data, expertise, and lived experience from thousands of victims. “This inquiry represents a turning point, one where truth and transparency may finally prevail over politics,” he said.
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