A rental BMW 5 Series, R150,000 a month towards a private security detail, and hotel accommodation – these are among the perks allegedly enjoyed by the former CEO of the Road Accident Fund (RAF), Collins Letsoalo.
Testifying before the standing committee on public accounts in parliament on Tuesday, dismissed former RAF national security manager Matome Lehomo said these were classified as “security measures” that exceeded the RAF board-approved budget of R480,000 a year.
Lehomo revealed that his concerns began with the arrival of a specialist security consultant sent from the Passenger Rail Agency of SA (Prasa)
It was later revealed that the specialist had also worked for Julias Malema and the previous deputy president, David Mabuza.
“Prasa at the time was mired in security challenges, which were widely publicised in the media. So it was puzzling to me that Prasa would spare a security specialist for RAF. Moreover, no formal CSE [contracting and service engagement] or procurement process was disclosed to me for this engagement,” he said.
Despite the board’s allowance, the security specialist arranged more extensive and expensive executive protection for the CEO
— Matome Lehomo, former RAF national security manager
This followed the board’s approval of the CEO's close protection detail, capped at R480,000, and Letsoalo’s dissatisfaction with finding a service provider within that budget, he said.
Lehomo said he became uneasy with the Prasa specialist’s role, which seemed to override his own.
“He [the security consultant] appeared to be closely aligned with the CEO and began, in my view, to marginalise me,” Lehomo said. “First, he bypassed the security department’s chain of command, preferring to work through my subordinate.
“Through my subordinate, I learnt he had instructed security to be posted at the CEO's home. One of the first major actions the specialist took was to override the board’s decision on the CEO's fringe benefit for security.
“Despite the board’s allowance, the security specialist arranged more extensive and expensive executive protection for the CEO. The cost of this arrangement rose to approximately R150,000 per month, paid to a Durban-based private security contractor. The expenditure far exceeded the board-authorised amount for the CEO's security.
“In addition to the R150,000 monthly payments, the RAF incurred further costs to support this VIP protection – including a fuel card for the hired BMW 5 Series used by the CEO and hotel accommodation for the close protection officers when they travelled with him,” he said.
Lehomo estimated that the total cost of the CEO's personal protection was approximately R1.8m a year – nearly four times the amount authorised by the board. He said he had raised concerns about this irregular expenditure.
“Despite my reservations, the security department paid the invoices for the private security detail under the authority of the acting COO. These costs kept escalating as more resources were added, up until my suspension. The resources included firearms, personnel, and vehicles,” Lehomo said.
Sowetan
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.