Deputy minister welcomes SCA ruling on Road Accident Fund

THE Supreme Court of Appeal (SCA) has declined an application by the Road Accident Fund (RAF) to leave to appeal the matter concerning adverse findings used in its audit process.

- ZELDA VENTER

The Deputy Minister of Transport, Sindisiwe Chikunga, has welcomed the SCA judgment and said the matter has unnecessarily dragged on for too long. The RAF was recently asked during a meeting of the Standing Committee (Scopa), how long it was prepared to continue settling negative audits while pursuing the matter legally.

The SCA judgment comes amid a longstanding dispute between the RAF and the Auditor-General of South Africa (A-G) over the appropriate accounting standards in auditing the entity.

Hlengwa, meanwhile, said the A-G has rigidly adhered to the Generally Rec-ognized Accounting Practice (GRAP) standard, whereas the RAF insisted on being audited based on International Public Sector Accounting Standard (IPSAS) 42. As a result of the insistence on applying IPSAS 42, the RAF has consistently received adverse and disclaimed audit opinions.