SASSA withdraws Constitutional Court application over grants

SASSA approached the highest court in the land for advice on how to pay social grants, after the contract with Cash Paymaster Services (CPS) comes to an end on 31 March.

The agency told parliament that they do not have any plans yet on how they will pay social grants to 17 million beneficiaries once the contract with CPS lapses.

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According to a letter sent to SASSA CEO Thokozani Magwaza on 9 February, CPS says they are amenable to an exploratory meeting to discuss the probabilities to assist SASSA in the transition.

"We believe that it is in the best interest of both parties, as well as the beneficiaries, that this exploratory meeting be concluded by no later than 17 February 2017  to agree on CPS' services as an interim arrangement regarding the payment of social grants for the period after 31 March 2017," said CPS CEO Serge Belamant.

SASSA spokesperson Paseka Letsatsi they received information of a particular aspect from a very important stakeholder.

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"We had to withdraw the application so we can incorporate it into the document. We just wanted to demonstrate to everybody that we are negotiating. We are consulting in good faith," says Letsatsi.

Letsatsi says the negotiations with CPS will start today.

"We think it will be important for everybody to give these particular negotiations a chance," says Letsatsi.