Question NW2885 to the Minister of Transport

Share this page:

02 October 2023 - NW2885

Profile picture: Lees, Mr RA

Lees, Mr RA to ask the Minister of Transport

What are the (a) relevant details of all contracts and/or arrangements that the Road Accident Fund (RAF) has had with the Sunshine Hospital, (b) detailed reasons for terminating any of the RAF contracts and/or arrangements with the specified hospital, (c) relevant details of all court judgments granted in favour of the hospital and against the RAF and (d) relevant details of the total amounts of all (i) court judgments and (ii) cost orders granted against the RAF in favour of the hospital?

Reply:

What are the

a) relevant details of all contracts and/or arrangements that the Road Accident Fund (RAF) has had with the Sunshine Hospital,

The RAF signed a Cooperation agreement with Sunshine Hospital in November 2007. The agreement had no expiry date. Upon review it was found that the relationship is no longer beneficial to the RAF business. Sunshine hospital was engaged and informed of the decision to terminate the relationship through a letter in July 2018.

b) detailed reasons for terminating any of the RAF contracts and/or arrangements with the specified hospital,

The agreement was not compliant with the RAF’s corporate governance prescripts whereby all signed agreements had an end date. The relationship was not relevant to RAF business and Sunshine was misrepresenting the nature of the relationship claiming to be a “RAF hospital”. There is evidence of sown cases of possible corrupt practises by Sunshine.

(c) Below is the list of all transaction in favour of Sunshine Hospital, listed by category, for the period 1 April 2014 to date:

Overall,

There were 28,941 transactions to the value of R3.53 billion of which, 1 132 with a value of R18.75 million were due to a court judgement.

(d) Below is the list of details of the total amounts of all (i) court judgments and (ii) cost orders granted against the RAF in favour of Sunshine Hospital.

In summary:

Plaintiff Attorney Capital are costs for the court order judgement, the Plaintiff Attorney Costs are legal costs awarded to Sunshine Hospital. Interest Costs are in relations to the capital awarded to Sunshine Hospital in the Judgement. Sherrif & Writ costs are costs of attachment and execution.

Source file