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Sassa annual report reveals R1.7bn irregular expenditure

The Auditor-General says he can’t be sure R1.7 billion is a true reflection of the total irregular expenditure at Sassa because it doesn’t have proper systems in place to ensure it has all be captured.

FILE: Former Minister of Social Development Bathabile Dlamini. Picture: Thomas Holder/EWN

CAPE TOWN - The Social Security Agency under the watch of the beleaguered former Minister of Social Development Bathabile Dlamini has raked up irregular expenditure of R1.7 billion.

The agency's annual report reveals millions of rands in irregular expenditure has been rolled over from previous financial years and that attempts to condone the expenditure have still not been resolved.

The Auditor-General Kimi Makwetu also notes Sassa's leadership has failed to act against those responsible.

As if Dlamini’s legal woes are not enough, she is also likely to come under fire in Parliament for the latest financial statements of the Social Security Agency.

It reveals irregular expenditure for 2017/18 alone amounted to R224 million.

In that time, the agency has had three chief executive officers. Much of the total irregular expenditure relates to contracts where their legality is disputed.

This includes R419 million for a security contract and another R358 million for office accommodation.

A Supreme Court appeal by Cash Paymaster Services means Sassa has also not yet been paid back more than R316 million it paid for the registration of grant beneficiaries.

The R43 million the agency paid for work streams appointed by Dlamini has been carried over from the previous financial year.

The Auditor-General says he can’t be sure R1.7 billion is a true reflection of the total irregular expenditure at Sassa because it doesn’t have proper systems in place to ensure it has all be captured.

(Edited by Shimoney Regter)

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