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Corruption Watch, following the failure of the South Africa Social Security Agency (Sassa) to find an alternative service provider to deliver social grants, calls for the Minister of Social Development, Bathabile Dlamini to be sacked for her handling of the matter.

The organisation views the proposal by Sassa to extend or renew a contract with Cash Paymaster Services (CPS) in a serious light, particularly following the Constitutional Court’s judgement that the award of the tender was invalid, and riddled by administrative irregularities which, in the words of the Court, are to be treated seriously because they may ‘betoken corruption’.

David Lewis, executive director of Corruption Watch, commented: “Why did the Hawks never take up the Court’s effective invitation to investigate the underlying reasons for the flagrant administrative irregularities?  It shames our law enforcement authorities to note that the US Department of Justice (DOJ) investigated CPS, a US listed company, while our own authorities sat on their hands and did nothing.  The US DOJ investigation remains open but inactive because of the failure of our law enforcement authorities to support their investigation.”

Moreover, in this matter, the suspicion of corruption is not without a solid foundation. Corruption Watch particularly notes the following:

• The allegation under oath in 2008 by Advocate Norman Arendse, a highly regarded Senior Council, and then chairman of the Adjudication Committee for this tender, that while he was deliberating the tender, Mr Gideon Sam, claiming to represent CPS, made a statement about having an open cheque book.

• The shadowy role played by the President’s legal adviser, Mr Michael Hulley as a “strategic advisor” to Sassa in the adjudication of the R10-billion contract. Why was Sassa unable to produce a contract with Mr Hulley or proof that he was remunerated?   Who was remunerating Mr Hulley and who was he representing?  These questions have been raised by Corruption Watch in the past.

• Minister Dlamini’ s infamous caution to fellow ANC members not to point fingers alleging corruption, reminding them that “we all have smolanyana skeletons” in our cupboard.  Is this the skeleton in her cupboard?  This would, of course, not be a small skeleton so she was possibly referring to the Travelgate scandal in which she had already been found guilty of corruption.

Lewis commented: “This is arguably the most serious scandal to emerge in democratic South Africa.  At stake are the lives of the most deprived people in South Africa.  Dlamini and Sassa have ensured that the only realistic option for ensuring that the grants are paid is a further contract with CPS.  We are certain that those millions of people for whom the social grant is a life and death matter and who have been caused unimaginable anxiety by Dlamini’ s disgraceful conduct would welcome her immediate departure from public life.”

Issued by Corruption Watch