Social Development Minister Nokuzola Tolashe is committed to restoring integrity and addressing corruption at the South African Social Security Agency (Sassa).
We take these anomalies seriously and we are determined to restore the integrity of our social security system. We will ensure that these revelations are addressed with vigour.
Joel Cedras and Veer Gosai, the two first-year Stellenbosch University students, briefed the Portfolio Committee on Social Development last week on their findings of fraud within the SRD grant system.
The Portfolio Committee on Social Development has given the Sassa 30 days to conduct an investigation into the weaknesses identified in their Social Relief of Distress (SRD) grant application and payment system.
Due to the seriousness of the student’s findings, the committee resolved to give the department and Sassa 30 days to conduct a full investigation into the matter and to thereafter present a detailed report to the committee, as per the request of the Minister.
The students found that fraudsters were using unsuspecting citizens' identity numbers to apply for the SRD Grant and receiving the funds in bank accounts using the same ID numbers. This potentially eliminated deserving people from accessing government relief.
The students emphasised that they had conducted the survey and published their findings out of concern that the fraud in the system robbed the poor and vulnerable, particularly the youth, of the social protection they need.
The Minister announced that Sassa will be subjected to enhanced oversight, data analytics investment, and cooperation with agencies like the NPA and SIU to combat fraud.
We have implemented stringent measures to detect and prevent corruption activities and have enhanced its oversight mechanisms to ensure that Sassa's payment system is transparent and would be able to hold accountable those who abuse their position of power and authority within the agency.
The Minister warned that any instances of fraud detected will be dealt with decisively.
A firm commitment that the department will ensure that any corruption uncovered at Sassa would be dealt with decisively.
Sassa Committed To Improving System Integrity
Sassa spokesperson, Paseka Letsatsi said the agency's leadership has resolved to roll out a nationwide system of biometric security to address fraud.
We were just trying to see how quick the system is to check that people who are trying to penetrate the system are indeed people who are trying to get the R370 [grant].
Sassa is also moving to a policy that only allows individuals with smart IDs to apply for the SRD grant. Applications for the SRD grant also cannot be made in person at Sassa Offices like other grants and can only be made online.
Portfolio Committee of Social Development Chairperson Bridget Masango says there is ongoing corruption in the Department and its leadership. The chairperson expressed concern about financial mismanagement and the department’s capacity to manage its extensive budget effectively.
Masango noted the Office of the Auditor-General’s repeated concerns over irregular expenditure.
Parliamentary Members Slam Sassa’s Systems Failures
Democratic Alliance (DA) Parliamentary member Alexandra Abrahams says Sassa has become "synonymous with fraud and corruption."
They listed issues including unauthorised deductions, payments to deceased individuals, and duplicate payments.
Abrahams says that stated system failures are unaddressed, and the students were unlawfully excluded from grants despite qualifying.
Nothing has been done to prevent this from occurring again. Worst of all, the two students who uncovered this fraud were unlawfully locked out from receiving the grant, even though they qualify
uMkhonto weSizwe's, Nhlamulo Ndhelwa, criticised Sassa’s system for failing to cross-reference data with other agencies to prevent fraud effectively considering that there are tools available.
To do a means test or develop cross-referencing data with Home Affairs, the public sector’s salary payment system, SARS and registers for owners and directors of companies to prevent inmates, deceased persons and non-eligible beneficiaries from getting social grants
Ndhelwa claimed that syndicates and corrupt administrators are enabling the ongoing fraud.
What we are really dealing with are syndicates that work with the grant administrators who enlist illegal identities and illegal recipients to the Sassa Payment system. These administrators are the true enablers of fraud and corruption that we find our ourselves today.
Economic Freedom Fighter Noluvuyo Tafeni also criticised the ongoing system weakness which allows fraudsters to exploit Sassa’s payment system.
To this day, the system remains so weak that fraudsters slip through the agency’s payment system without being caught, leading to the department losing money at a horrendous rate.
The accused accused key stakeholders at the grant payment agency protecting politically connected individuals at the expense of effective oversight.