‘List of Sassa failures are endless’: Calls for SIU probe into alleged fraud and corruption

A call has been made for the Special Investigating Unit (SIU) to look into allegations of fraud and corruption involving the South African Social Security Agency (Sassa).

On Thursday, Members of Parliament (MPs) participated in a virtual mini-plenary session of the National Assembly, where they debated Sassa’s affairs.

During the debate, Democratic Alliance (DA) MP Alexandra Abrahams criticised Sassa, stating it has become synonymous with fraud, corruption, mismanagement, endless queues, pensioners spending the night in line to secure a spot for the next day, and tragically, some even dying while waiting.

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Abrahams remarked that visiting a Sassa office was far from a pleasant experience when beneficiaries encounter issues, but one driven by sheer desperation.

“Authorised deductions, the R319 million lost during the CPS [Cash Paymaster Services] scandal, paying deceased beneficiaries, paying government employees, system glitches which lead beneficiaries to either receive double payment or no payment at all, Sapo [South African Post Office] and PostBank inefficiencies, confusion over gold cards, black cards and card expiry dates, the list of Sassa failures are endless,” she said on Thursday.

Watch the plenary session below:

Fraud and corruption at Sassa

Abrahams slammed Sassa regarding a recent scandal involving an alleged security breach of social grants.

Two students from Stellenbosch University presented their findings in Parliament on Wednesday, revealing how they discovered fraud within the Sassa’s R370 Social Relief of Distress (SRD) grant system.

With the Portfolio Committee on Social Development giving Sassa a month to respond to the students’ allegations, Abrahams condemned the agency for its lack of response.

“Sassa has admitted fraud within this SRD grant is not new.”

“It is nothing more than a delay tactic by the ANC and Sassa, who will now have another 30 days in which to do an internal investigation in order to spin the truth and avoid any further embarrassment of the minister, themselves, and this government.”

READ MORE: ‘We were found wanting’: Sassa aware of social grant ‘fraud breaches’ since at least 2023

The DA MP called for Sassa’s management to be held accountable for the agency’s challenges and also called for an SIU probe into the alleged fraud and corruption.

“[The Department of Social Development] cannot investigate its own entity.”

Arabrams further called for a commission of inquiry into the SRD R370 grant payment system to be established.

stringent measures to deal with Sassa corruption

Meanwhile, Social Development Minister Sisisi Tolashe stated that in 2024 alone, South Africa’s banking system has suffered nearly R3.3 billion in losses due to fraud perpetrated by cybercriminals and identity theft.

“Sassa does take these considerations that are very serious; hence, it has taken a decision to have alternative payments of grants,” she said.

Tolashe assured MPs that her department and Sassa were “not complacent” in their efforts.

She emphasised that addressing both fraud and corruption was crucial, as these crimes undermine the integrity of the country’s social security system.

“Any corruption within Sassa will be dealt with decisively. We will implement stringent measures to detect, prevent and punish corruption activities.

READ MORE: Woman found guilty of defrauding Sassa of more than R100,000

“This includes enhancing our oversight mechanisms, increasing transparency and holding accountable those who abuse their positions of power.

“Furthermore, we will leave no stone unturned in our efforts to combat fraud against the agency.

“We have already made investments in advanced technologies and data analytics to detect fraudulent activities and we continue to strengthen this to be able to act more swiftly,” the minister said.

She added that Sassa would work more with law enforcement to “ensure that those who commit fraud are brought to justice”.

‘Syndicates plaguing Sassa’

uMkhonto weSizwe (MK) Party MP Nhlamulo Ndhlela stated that cleaning up the grant system must begin with public servants.

In 2021, it was revealed that at least 170 000 public servants were unlawfully receiving over R200 million in Sassa grants.

Although public servants are only entitled to foster child grants, many have illegally obtained other types of social grants, including those for old age, disability, and child support.

“The reality we are dealing with here within Sassa is that we are dealing with syndicates and those syndicates work with the grant administrators, who are the ones that capture these illegal IDs and these illegal fraudulent activities within our system.

“They are the true enablers of the fraud and the corruption that we find ourselves in as the state.”

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