South Africa’s Road Accident Fund (RAF) collects more than R48 billion each year from the fuel levy, money meant to help people injured in road crashes. Yet thousands of victims are still waiting for their payouts — while the fund sinks deeper into debt.
According to recent reports to Parliament, the RAF now owes more than R518 billion but holds assets worth only R33 billion. Despite this, large sums continue to be spent on bonuses, luxury items, and questionable contracts.
Records show that the RAF allocated about R1 billion to communications and advertising over the past two years, with R650 million of that going to two companies. Another R231 million went to staff bonuses, and R1.8 million was spent on VIP protection for executives.
One of the more shocking revelations was an invoice showing R48,300 billed for a single bucket hat. The RAF claimed that the line item reflected multiple hats, not one, but the figure still raised eyebrows in Parliament. Other expenses under scrutiny included branded golf shirts priced at over R8,000 each, podcasts costing R110,000 per episode, and thousands of water bottles at R85 apiece.
Auditors have flagged more than R95 million in irregular, wasteful, and fruitless expenditure. They also found millions lost to overpayments, duplicate claims, and procurement failures. Despite this, the RAF’s ability to process legitimate claims has plummeted.
The number of new claims has dropped sharply — from more than 300,000 in 2019 to fewer than 80,000 in 2024. Personal injury claims, once over 100,000 a year, have fallen by more than 80%.
Wayne Duvenage from the Organisation Undoing Tax Abuse (OUTA) described the problems as systemic. He said weak oversight, complacent boards, and lack of accountability have allowed reckless spending to go unchecked. “We see a total disregard for state funds — unnecessary contracts, overpriced travel, and undeserved bonuses,” he said.
The Auditor-General also found serious control failures, including unauthorised banking changes and weak verification systems, which have led to repeated financial losses. “If these problems aren’t fixed,” auditors warned, “incorrect or duplicate payments will continue.”
The Special Investigating Unit (SIU) is probing the RAF for irregular procurement and duplicate payments to law firms. Investigators say they have struggled with delays and poor cooperation from RAF officials, even having to open a criminal case against an executive who ignored a subpoena.
For crash victims still waiting for compensation, these figures mean little comfort. While billions circulate within the fund, many ordinary South Africans continue to face long, painful waits for justice that may never come.