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Zawya
5 days ago
- Business
- Zawya
The Standing Committee on Public Accounts (SCOPA) Receives Briefing from Road Accident Fund (RAF) on Chief Executive Officer (CEO) Special Leave and Ongoing SIU Investigation
The Standing Committee on Public Accounts (SCOPA) has instructed the minster to take urgent steps to restore the effectiveness of governance systems at the Road Accident Fund (RAF). The RAF Chief Executive Officer, Mr Collins Letsoalo, was placed on special leave on Monday, 26 May 2025. The committee has a litany of concerns, which include but are not limited to: That the board has failed properly to ensure that its senior officials are vetted for suitability, with the Chief Executive Officer informing the committee on 16 October 2024 that he had been vetted when this was not the case. Misleading Parliament is a serious breach of trust. Failure to perform background checks on a senior official, also unvetted, even though he escaped disciplinary charges at his previous state employer. The committee has consistently expressed extreme displeasure at the practice of state employees escaping accountability for serious misconduct by securing employment elsewhere in the state. Continuing for more than two years without ahead of legal services while pursuing litigation against the Auditor-General,and against the instructions of more than one Minister of Transport. Failure to appoint a Chief Claims Officer for more than two years despite a serious backlog of claims. Accumulating over R4bn in default judgements while failing to appoint either a head of legal services or Chief Claims Officer. The RAF has on numerous occasions been excoriated by the courts,including a case last week where the RAF attempted to overturn a R6m judgment by filing false statements with the court, and then proceeding not to argue its own application. Just two law firms in a panel of over 40receiving over 83% of legal fees (R83m) paid during the most recent financial year. The two law firms also received the bulk of payments in the previous financial year. The decision to place the CEO on special leave was taken by the board yesterday and announced to SCOPA by the Deputy Minister of Transport Mr Mkhuleko Hlongwa today in a meeting that was meant to discuss updates on the ongoing SIU investigations at RAF. RAF board Chairperson, Ms Zanele Francois, told SCOPA that the reason for the CEO special leave was due to a disagreement over whether the RAF should agree to account to Parliament, the content of the presentation and potential conflict in relation to the ongoing SIU investigation. The committee has instructed the board to provide comprehensive reasons in writing to the committee within a week. SCOPA has resolved to recall RAF to return with detailed explanations regarding the special leave of the CEO, a breakdown of spending on cases with a list of law firms, attorney and council fees. 'The Road Accident Fund is funded by taxpayers. It is unacceptable that any official thereof refuses to account to Parliament in the manner we have experienced during the past week. It is also unacceptable that the institution can accumulate billions in default judgments due to its failure to manage litigation properly, leaving the institution vulnerable to expensive default judgments that accumulate interest taxpayers must pay,' said Songezo Zibi, the Chair of the Standing Committee on Public Accounts. Distributed by APO Group on behalf of Republic of South Africa: The Parliament.


Zawya
26-05-2025
- Business
- Zawya
Saudi: New regulation strengthens GACA's oversight of airports and companies
NEW YORK — The new regulation grants the General Authority of Civil Aviation (GACA) financial and administrative independence and broad powers to regulate and develop the sector, in line with the national strategy for transport and logistics services and enhancing the sector's investment attractiveness. The regulation, published in Umm Al-Qura newspaper on Friday, aims to strengthen oversight of airlines, airports, and entities operating in the sector, as well as to ensure their compliance with regulations and standards. It also aims to introduce new policies and legislation, as well as to regulate licensing, permits, and civil, private, military, and diplomatic flights. The regulation includes responsibilities related to aviation security, the environment, frequency use, and navigation information, as well as setting unified standards for smart airport technologies and improving the passenger experience. The regulation defines the powers of the GACA's board of directors, headed by the minister of transport, and including representatives from government agencies and experts from the private sector. The board is granted broad powers, including the adoption of policies and strategies, the approval of regulations and budgets, and the approval of the investment of GACA funds and international contracts. The GACA chairman will be the chief executive officer and has direct powers to manage the authority's business, appoint employees, approve financial expenditures, and represent the authority judicially and administratively. © Copyright 2022 The Saudi Gazette. All Rights Reserved. Provided by SyndiGate Media Inc. (


Asharq Al-Awsat
22-05-2025
- Business
- Asharq Al-Awsat
Saudi Arabia Grants Civil Aviation Authority Financial Independence
The Saudi government has approved a new regulatory framework for the General Authority of Civil Aviation (GACA), granting it expanded powers to achieve financial sustainability and operate independently from the state budget. Under the new structure, approved recently by the Council of Ministers, GACA will gradually transition to self-funding through revenue generated from its services. While it will initially receive allocations from the state budget, the long-term goal is for the authority to maintain its own independent annual budget and a reserve fund equal to twice its previous year's expenditures. The move is part of Saudi Arabia's broader strategy to modernize and privatize key sectors, in line with the national transport and logistics strategy. GACA's updated mandate includes regulating and developing the civil aviation sector, improving oversight, and making the industry more attractive to private investment. GACA is now authorized to invest its revenues to support its financial goals. The Minister of Transport and Logistics—who also chairs the authority's board—and the Minister of Finance will jointly oversee how these investments are managed. The authority can also impose service fees for activities and operations it oversees. However, these fees must be coordinated with the Ministry of Finance and the Center for Non-Oil Revenue Development, until a broader regulatory framework for government service charges is finalized. The new structure empowers GACA to set policies, draft regulations, and monitor compliance across the aviation sector. This includes oversight of airport operations, enforcement of safety and performance standards, and ensuring alignment with the civil aviation strategy. GACA will also handle flight permits for scheduled, charter, military, and diplomatic flights, and approve commercial agreements involving domestic and international carriers. It will set unified standards for smart airport technologies to improve passenger experience, in collaboration with the Communications, Space and Technology Commission. Environmental protection will also fall under GACA's jurisdiction, including the design and supervision of aviation-related sustainability programs, while agreements between Saudi and foreign airlines operating to and from the Kingdom must comply with international treaties and reflect economic, social, and security priorities.