'RAF execs bypass rules'

CAMPAIGN: ALLEGATIONS OF SPLIT INVOICE FRAUD, WITH HOTEL STAYS AND BOOZE PAID FOR

- Sipho Mabena

Siphelele Madume and ex-Man United goalkeeper Edwin van der Sar in Soweto yesterday at the opening of Cruyff Court Diepkloof, that offers children a safe space to play.

(Nigel Sibanda)

The Road Accident Fund (RAF) is facing explosive allegations of corruption, inflated billing and procurement irregularities linked to its Successful Stories marketing campaign, a project that has reportedly cost the troubled entity over R10 million, with little evidence of value for money.

According to a whistle-blower complaint submitted to the agency's board chair, Kenneth Brown and acting CEO Phathutshedzo Lukhwareni, senior executives are accused of manipulating procurement processes, splitting invoices to bypass approval limits and receiving VIP treatment from service providers in apparent exchange for contracts.

At the centre of the allegations are invoices reportedly submitted by the two companies contracted to execute the campaign.

On 22 October, 2024, the companies allegedly submitted four invoices, two amounting to about R1.9 million and two for around R1.3 million.

These, according to the whistle-blower, were deliberately split to remain below the delegation of authority threshold of a senior RAF marketing executive, thereby avoiding higher-level approval.