Sassa to file papers at ConCourt over grant payments contract

Sassa was supposed to file the application last week but put it on hold to allow time for consultation with affected parties.

FILE: Sassa card. Picture: @OfficialSASSA.

JOHANNESBURG – The South African Social Security Agency (Sassa) says it will file papers in the Constitutional Court on Wednesday afternoon, seeking an extension of its contract with Cash Paymaster Services.

Sassa was supposed to file the application last week but put it on hold to allow time for consultation with affected parties.

If the contract is not extended in time, millions of South Africans who rely on the grants may not be paid when the agreement expires at the end of March.

Sassa's spokesperson Paseka Letsatsi says: “We will hear from the court when it will be placed on the roll. There are options we had to consult and arrive at a particular conclusion. We do not want any hiccups in terms of the payment.”

At the same time, Bloomberg is reporting that Finance Minister Pravin Gordhan has told Social Development Minister Bathabile Dlamini that her plan to extend the contract would be unlawful.

(Edited by Tamsin Wort)