DA welcomes PP finding against R278 million irregular SASSA contract

10 October 2022

Note to editors: Please find attached soundbite by Bridget Masango MP.

The DA welcomes the Public Protector’s finding that a contract awarded by the South African Social Security Agency (SASSA) to Azande Consulting CC and Vee-el Promotions (Pty) (Ltd) was irregular.

The Public Protector found that other bidders for the contract were unfairly disqualified by the Bid Evaluation Committee (BEC) and the Bid Adjudication Committee (BAC), and that the contract resulted in irregular expenditure of R278 717 752 for SASSA.

The DA will keep a close eye on SASSA’s implementation of the Public Protector’s recommendations, including whether:

- Action had been taken against the implicated SASSA employees, including referral for criminal investigations;
- The supply-chain management (SCM) system had been reviewed and enhanced and the BEC and employees that deal with SCM had been trained regarding legislation, policies and other relevant prescripts; and
- Mechanisms have been put in place to assist the BAC to verify and certify compliance of companies tendering for projects.

For many years, an Agency meant to assist South Africa’s poorest and most vulnerable have let down those in their care. This contract, meant to provide door-to-door services, should have been a force for good and had the potential to have great impact. Instead, it was captured and close to R280 million was wasted by SASSA. The DA has always maintained that there was a case to answer on these contracts and we welcome the findings of the PP.

Issued by Bridget Masango, DA Shadow Minister of Social Development, 10 October 2022