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DA: Statement by Mike Waters, Democratic Alliance Shadow Minister of Social Development, on illegal SASSA tender (29/08/2012)

29th August 2012

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I will today be submitting parliamentary questions to Minister of Social Development, Bathabile Dlamini, to ascertain who will be held accountable for the R10 billion tender that was awarded to Cash Paymaster Systems (CPS) by the South African Social Security Agency (SASSA). Yesterday, the tender was declared invalid and illegal in the judgment passed by Judge Elias Matojane in the North Gauteng High Court.

The important questions that I will ask include:
What will happen to beneficiaries who have yet to be re-registered since CPS took over and started administering social grants?
What steps will the Minister take to ensure that guilty individuals are held accountable for their actions during the tender award process?
What are the financial costs of having to re-advertise and re-issue the tender?
What steps will be taken to ensure that the re-issuing and re-awarding takes place independently and transparently?
I have also written to the Public Protector, Advocate Thuli Madonosela, requesting her to include yesterday’s judgment in her investigation into the SASSA tender award. I will follow up on this request and look forward to the Public Protector’s findings.

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The Minister must provide more clarity on exactly which aspects of the tender award were deemed illegal and invalid, and what steps will be taken to ensure that the new tender avoids these irregularities.

It is a shame that a tender intended to benefit the most vulnerable people in the country has become characterised by such wrongdoing. It certainly says a lot about the regard for vulnerable people and children by Minister Dlamini and SASSA CEO Virginia Peterson.

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It is time for the Minister to answer questions on who will be held to account for the events that transpired.

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