R350 Grant Under Scrutiny: Committee Demands Full Social Grant Review After R350 Investigation

R350 Grant Under Scrutiny: South Africa’s Parliamentary Portfolio Committee on Social Development has called for an expanded investigation into the entire SASSA grant system, not just the R350 Social Relief of Distress (SRD) grant. This comes after concerns over fraudulent activities and weaknesses in the application and payment processes.

R350 Grant Under Scrutiny

Chairperson Bridget Masango confirmed that the Department of Social Development (DSD) and SASSA have been granted more time to conduct a deeper investigation into fraud risks and system vulnerabilities.

Why Is SASSA’s Grant System Under Investigation?

The investigation was initially triggered by findings from two Stellenbosch University computer science students. Their research exposed major security gaps in SASSA’s system, showing that:

• There was no proper authentication process in the SRD grant system.
• It was too easy to apply for the R350 grant, increasing the risk of fraud.

These concerns prompted Parliament to order an initial 30-day investigation into the SRD grant’s application and payment system. However, after reviewing the preliminary findings, Masango and the committee decided that a more extensive probe was needed across all SASSA-administered grants.

Parliament Extends SASSA Grant Investigation

Masango emphasized that a time-constrained investigation would leave out critical details and potential fraud cases. She stated:

“The more you time-constrain and hurry up, the more you leave things out in the investigation.”

Instead of setting an immediate deadline, the committee will confirm the timeline once it finalizes the programme for the fourth term.

Minister Sisisi Tolashe has agreed to extend the investigation after realizing that the initial probe did not cover all critical issues.

Collaborating with Other Government Departments

To improve the grant verification process, Parliament is pushing for closer collaboration between SASSA and the Department of Home Affairs. Since grant applications require ID numbers, ensuring data security and fraud prevention is crucial.

Holding Fraudulent Officials Accountable

Masango stressed that any officials, employees, stakeholders, or service providers involved in fraud will be held accountable.

“Until proven to have done something, you can’t get rid of them. But those found to have committed a crime will be brought to book.”

This means strict action will be taken against anyone implicated in fraudulent activities within the SASSA grant system.

Challenges Faced by NGOs Supporting Grant Recipients

Masango also highlighted issues with Non-Profit Organizations (NPOs) that assist in delivering social services. Key concerns include:

• Lack of funding – Many NPOs receive delayed payments or only half of their expected funding.
• Service disruptions – Due to funding issues, some NPOs have been forced to close, leaving vulnerable individuals without support.

The committee will prioritize improving partnerships between the DSD and NPOs to ensure that social services continue without disruption.

Misunderstanding of the Department of Social Development’s Role

Masango noted that many people mistake the Department of Social Development (DSD) for SASSA. While SASSA primarily handles grant payments, the DSD provides broader services to the poor and vulnerable.

Parliament will strengthen oversight of the DSD’s other responsibilities, ensuring that social welfare extends beyond just grant payments.

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