KEY POINTS
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Letsoalo defends his actions in the R79 million lease case.
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The SIU has requested bank statements as part of the investigation.
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Letsoalo explains the procurement process for the new office building.
Collins Letsoalo, CEO of the Road Accident Fund (RAF), defended himself and his board against claims related to a controversial R79 million lease for the fund’s Johannesburg office.
Letsoalo held a media briefing on Monday to address what he said were preliminary findings from the Special Investigating Unit (SIU). These findings followed a whistleblower complaint regarding the procurement of the Johannesburg building.
The whistleblower initially reported the matter to the Office of the Public Protector. Letsoalo faced accusations of reversing a bid committee decision in favor of Mowana Properties, a losing bidder who secured a five-year contract.
The allegedly leaked preliminary report also referenced other dubious RAF contracts. However, Letsoalo only addressed the building procurement issue during the briefing.
Letsoalo claims no findings made against him
Letsoalo said no preliminary findings had been made against him, as an SIU report must be presented to the President first.
He emphasized that he and his board have always cooperated with the SIU. “I sleep well at night. I am not worried because I know there is nothing to be concerned about,” Letsoalo said. He added that the allegations against him were made by a disgruntled former RAF employee who was dismissed for sexual harassment.
Letsoalo confirmed that the SIU had requested bank account statements from him and his staff. He indicated his readiness to supply the requested information, provided the SIU could guarantee its confidentiality.
Letsoalo explains the building procurement process
According to IOL, Letsoalo explained that the decision to acquire a new building for the Johannesburg RAF office did not come without careful consideration. He sought assistance from government entities to find a suitable building.
He noted that Marble Towers, the previous office building, was unsuitable due to health hazards. We approached both Transnet and Prasa, but neither could provide a suitable building.
The Public Investment Corporation recommended Mowana Properties, a Government Employees Pension Fund portfolio company, to assist in finding accommodation.
