RAF CEO could be jailed for contempt of court

Road Accident Fund (RAF) CEO Collins Letsoalo is in danger of being jailed for three months for contempt of court.

This follows Judge Elizabeth Kubushi in the High Court in Pretoria on 12 October 2023 finding Letsoalo to be in contempt of a court order issued on 29 January 2018 related to a claim submitted to the RAF by accident victim Nelson Cebiso Mazibuko from Kabokweni in the Nsikazi district in Mpumalanga.

Kubushi ordered that Letsoalo be committed to imprisonment for contempt of court for three months, suspended for a year, on condition that he complies with the order granted on 29 January 2018 within 15 days from the date of service of her order in this matter.

Letsoalo was also ordered to pay the costs of the contempt of court application brought against him.

Some background

Alicia Steenkamp, from Van Dyk Steenkamp Attorneys and Mazibuko’s instructing attorneys, said in an affidavit that Mazibuko instituted action against the RAF for damages suffered in a motor vehicle collision on 7 May 2011.

Steenkamp said the matter has progressed up to the stage where an order was granted on 29 January 2018 declaring the RAF liable for 80% of Mazibuko’s proven or agreed damages.

She said that in terms of paragraph 4 of the court order issued on 29 January 2018, the RAF “shall furnish the plaintiff [Mazibuko] with an undertaking in terms of Section 17(4)(a) of the RAF Act of 1996 for payment of the future accommodation of the plaintiff [Mazibuko] in a hospital or nursing home or treatment of or rendering of a service or supplying of goods to him resulting [from] the injuries sustained by the plaintiff [Mazibuko] in the motor vehicle accident … to compensate the plaintiff [Mazibuko] of the said costs after the costs have been incurred and upon proof thereof, limited to 80%”.

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Steenkamp said this order was physically served on the RAF and Letsoalo by Mazibuko’s then-attorneys of record.

She said Mazibuko has little money and cannot afford to pay for the costs of future hospital or nursing home accommodation or treatment or the rendering of a service or the supply of goods to him.

Steenkamp said the RAF was invited on numerous occasions to provide Mazibuko with the undertaking mentioned in the court order dated 29 January 2018.

She said that on the first occasion, the RAF was requested directly via a formal letter dated 11 January 2023 to provide his attorneys of record with the undertaking within 10 days.

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Steenkamp said the RAF was, on the second occasion, requested via email on 20 April 2023 to provide Mazibuko’s attorneys of record with the outstanding undertaking.

She said the RAF failed or neglected to supply Mazibuko with the undertaking.

“The applicant [Mazibuko] sustained bodily injuries and cannot, as mentioned, afford to pay for the costs of future hospital or nursing home accommodation or treatment or rendering of a service or supplying of goods to him,” she said.

Loss of earnings

Steenkamp added that Mazibuko proceeded to have the issue of loss of earnings finalised and obtained an order confirming that loss.

Judge Brenda Neukircher issued an order in the High Court in Pretoria on 15 October 2020 ordering the RAF to pay R176 143.68 with regard to Mazibuko’s loss of earnings into the trust account of his attorneys but postponed indefinitely the issue of general damages suffered by Mazibuko.

Neukircher also ordered the RAF to pay Mazibuko’s court costs.

Steenkamp added that, as a last resort, Mazibuko emailed Letsoalo directly on 14 June 2023 requesting him to provide him with the undertaking within five days.

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“It is therefore clear that also the second respondent [Letsoalo] was given notice of the court order and was requested to provide the applicant [Mazibuko] with the undertaking.

“No reply or communication from the respondents [the RAF and/or Letsoalo] have been forthcoming since the latest email dated 14 June 2023,” she said.

Steenkamp added that:

• The RAF has been aware of the court order since 26 February 2018;
• Letsoalo, at the latest, became aware of the court order on 14 June 2023; and
• Despite numerous attempts by Mazibuko from 2018 to secure compliance from the RAF and/or Letsoalo, they “have elected to blatantly show its disregard and disrespect” to Mazibuko and this court.

Steenkamp said in light of Mazibuko demonstrating that the court order exists, that the court order came to the knowledge of Letsoalo, and that Letsoalo failed to comply with it, “wilfulness and mala fides are inferred”.

Steenkamp said the purpose of Mazibuko’s application was:

• To obtain an order that Letsoalo be placed in contempt of court.
• Suspending the committal for a period of one year on condition that Letsoalo complies with the order granted on 29 January 2018 within 15 days from the date of service of this order.
• To protect and enforce Mazibuko’s rights to have a dispute resolved by the application of law in a fair public hearing before court.
• To, in general, protect and enforce the rights of Mazibuko to fair and reasonable compensation under the RAF Act.

Steenkamp told Moneyweb on Thursday the order was served on Letsoalo via email on 10 October 2023, the date the order was issued, and served by hand on 19 October 2023 to the Centurion head office of the RAF.

Steenkamp said Letsoalo should by now have complied with the contempt of court order.

“We will now have to consider how we should establish the effect of the order further and if we want him to be arrested,” he said.

Steenkamp said they would have to have another discussion and take a decision with counsel and their instructing correspondent attorneys on the way forward.

Comment was requested from the RAF, but a response has not yet been received.

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