The Cash Paymaster Services (CPS) has dismissed claims that it will charge South African Social Security Agency (Sassa) rate of R25 per person in the new agreement.
On Friday Minister of Social Development Bathabile Dlamini engaged the CPS regarding the new payment Agreement toward distribute social grants.
Early on Monday the CPS met its legal representation to finalise conditions of the deal. The confusion has sparked concerns around whether 17 million South Africans will receive their social grants.
In 2014 the Constitutional Court ruled the current contract was invalid and couldn’t be renewed after it expires on 31 March.
CPS’s Serge Belamant admits it will increase the R16.44 rate it currently charges Sassa per beneficiary.
“We discussed how we calculated an adjustment, so for the last five years we’ve had no increases whatsoever. We’ve had to go in with some increases for the next two years and I think they were accepted by Sassa and the Social Development Department] as being reasonable.”
He says while he cannot confirm the new rate CPS will charge, it is nowhere near the reported R25 per beneficiary.
Belamant says Sassa has verbally agreed to the terms of the contract including the rate per person but it is yet to sign on the dotted line for CPS to continue as the primary paymaster.
Earlier Belamant stated that as far as he knew, the only thing preventing a deal from being finalised between his firm and Sassa was a legal agreement signed by both parties.
“It takes them a little bit of time to do this and then typically, you’ve got to go through the agreement term by term to ensure that the attorney has not tried to be too smart and maybe written the terms in a way that it was never intended.”
Over the weekends Minister Dlamini was accused of commiting crime against Humanity after failing to finalise a contract between Sassa and CPS.
Meanwhile, the Forum for Service Delivery says by failing to finalise a contract between the Sassa and CPS, Minister Bathabile Dlamini has committed a crime against humanity.
The forum’s Mbahare Kekena says Dlamini should be arrested if grants are not paid out in April.
“It’s time for our country to take a good stance on our leaders because they are far from the community and it’s all about them. We’re saying it’s actually a crime against humanity and she must be dealt with – harshly so.”