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By Enkosi Selane

Digital Journalist


Sassa grant: ‘Exploitative’ charges at ‘foreign-owned spaza shops’ uncovered

The shops in question may be in violation of the Social Assistance Act.


A campaign run by ActionSA has uncovered a practice of unfair surcharges imposed on South African Social Security Agency (Sassa) grant recipients by certain spaza shops in Homelite, Kimberley.

The surcharge, allegedly imposed by foreign-owned shops, has raised concerns about the exploitation of vulnerable residents.

ActionSA’s Andrew Louw said they received reports of grant recipients being charged extra when withdrawing their funds using their Sassa cards.

Louw condemned this practice from local shop owners.

“This exploitative practice has placed additional financial strain on some of the most vulnerable members of our society, leaving them with less money for essential goods and services,” he said.

The Citizen reached out to Louw to enquire about the scope of the issue in the province and the steps to be taken to prevent future incidents of illegal surcharges. This article will be updated once this is received.

Social Assistance Act

The Social Assistance Act (2004) aims to protect grant recipients from exploitation.

The act states that no person may deduct any amount from a social grant.

“A beneficiary must without limitation or restriction receive the full amount of a grant to which he or she is entitled before any other person may exercise any right or enforce any claim in respect of that amount,” it reads.

According to Louw, the shops in question may violate this Act.

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Louw said while on the campaign track in Homelite, several residents shared their discontent over the illegal deductions from their grants.

“ActionSA immediately took action to address the issue, ensuring that the much-needed funds of these recipients were returned in full,” said Louw.

He said the party would not tolerate any form of exploitation, “especially when it targets the most vulnerable in our communities”.

“ActionSA will continue to monitor this situation closely and will work with relevant authorities to ensure that no SASSA grant recipient is subjected to unfair treatment.

“We call on all residents to report any further incidents of illegal surcharges to our offices so that we can take swift action.”

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