A South African Social Security Agency (SASSA) whistleblower recently exposed a corruption scheme involving old age grants. This led to the arrest of a 70-year-old suspect and another individual on charges of corruption and possession of an unlicensed firearm and ammunition at SASSA’s office in Roodepoort, Johannesburg.
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SASSA Social Grants Corruption Exposed
The fraudulent scheme involved enrolling people for old age grants through non-standard processes in return for illicit payments. According to the whistleblower, individuals received R1,000 for each application they processed outside of the regular procedures.
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Execution of the Kickback Scheme
The scheme was executed in the following manner:
- Approaching the SASSA Official: The first step in the scheme was to approach a SASSA official with a proposal. This proposal was to register people for old age grants, but not in the usual, ethical way. Instead, they wanted to bypass the standard procedures.
- Handing Over the First Batch of Applications: Once the SASSA official agreed to the proposal, the fraudsters handed over a batch of 15 applications for old age grants. Along with these applications, they also gave the official R15,000. This money was not a legitimate fee; it was a bribe, meant to ensure the official would process the applications despite the unethical methods.
- Handing Over the Second Batch of Applications: After the first batch, a second batch of 20 applications was handed over. This time, the kickback – the term for the bribe in this context – was even larger, at R23,150.
Aside from this kickback scheme, the people involved were discovered to possess an unlicensed gun and bullets. Their car was where this was found, resulting in further legal charges being brought against them. The presence of the gun and bullets implies that this scheme may have encompassed more than just financial fraud; it’s possible that there was also an element of physical threat or intimidation involved.
Financial Loss to SASSA
According to Social Development Minister Lindiwe Zulu, the South African Social Security Agency (SASSA) has reported a significant loss of over R50 million due to fraudulent activities and corruption over a period of two and a half years. This disturbing trend involved over 700 separate incidents, with 40 officials being implicated in these cases.
The fraudulent activities included:
- Collection of Social Grants Meant for Deceased Individuals: This involves individuals or groups illegally collecting social grants that are intended for people who have passed away. In this scheme, the fraudsters use the personal information of deceased individuals to claim their social grants. This is a serious crime as it not only involves identity theft but also deprives the rightful beneficiaries of the financial support they need.
- Submission of Disability Grant Applications with Falsified Medical Documents: This fraudulent activity involves the submission of disability grant applications using fake or altered medical documents. The culprits forge medical documents to falsely represent themselves or others as disabled in order to qualify for disability grants. This is a grave misuse of funds meant to support individuals with genuine disabilities.
- Illicit Collection of Child Support Grants: This fraud involves the illegal collection of child support grants. In this scheme, fraudsters claim child support grants for children who do not exist or for whom they are not the legal guardians. This type of fraud takes away resources from children who are in real need of financial assistance.
Each of these fraudulent activities is a serious offence and can lead to severe legal consequences. They also undermine the integrity of social welfare programs and deprive deserving individuals of much-needed support. Authorities must take stringent measures to prevent such fraudulent activities and ensure that social grants reach their rightful recipients.
Criticism of SASSA
Democratic Alliance (DA) Member of Parliament Bridget Masango strongly condemned the South African Social Security Agency (SASSA) for its failure to combat fraud effectively. She highlighted that numerous Social Relief of Distress (SRD) beneficiaries have reported instances of their personal information and ID numbers being misused, yet SASSA has not taken sufficient action to address this concerning issue.
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Mahesh Sen, a seasoned student advisor, writes informative articles on educational topics. Mahesh gives valuable insights and practical advice to guide students through their academic challenges and milestones.