Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News
      R12.1-billion wasted as government IT projects collapse - Sita

      R12.1-billion wasted as government IT projects collapse

      1 April 2026
      DStv 4K streaming launch is not imminent

      R99 DStv deal to keep Showmax subscribers from bolting

      1 April 2026
      The biggest untapped EV market on Earth is hiding in plain sight

      The biggest untapped EV market on Earth is hiding in plain sight

      1 April 2026
      US-listed data centre operator Equinix doubles down on South Africa - Sandile Dube

      US-listed data centre operator Equinix doubles down on South Africa

      1 April 2026
      TCS | MTN's Divysh Joshi on the strategy behind Pi - Divyesh Joshi

      TCS | MTN’s Divyesh Joshi on the strategy behind Pi

      1 April 2026
    • World

      Apple plans to open Siri to rival AI services

      27 March 2026
      It's official: ads are coming to ChatGPT

      It’s official: ads are coming to ChatGPT

      23 March 2026
      Mystery Chinese AI model revealed to be Xiaomi's

      Mystery Chinese AI model revealed to be Xiaomi’s

      19 March 2026
      A mystery AI model has developers buzzing

      A mystery AI model has developers buzzing

      18 March 2026
      Samsung's trifold gamble ends in retreat

      Samsung’s trifold gamble ends in retreat

      17 March 2026
    • In-depth
      The R18-billion tech giant hiding in plain sight - Jens Montanana

      The R16-billion tech giant hiding in plain sight

      26 March 2026
      The last generation of coders

      The last generation of coders

      18 February 2026
      Sentech is in dire straits

      Sentech is in dire straits

      10 February 2026
      How liberalisation is rewiring South Africa's power sector

      How liberalisation is rewiring South Africa’s power sector

      21 January 2026
      The top-performing South African tech shares of 2025

      The top-performing South African tech shares of 2025

      12 January 2026
    • TCS
      Anoosh Rooplal

      TCS | Anoosh Rooplal on the Post Office’s last stand

      27 March 2026
      Meet the CIO | HealthBridge CTO Anton Fatti on the future of digital health

      Meet the CIO | Healthbridge CTO Anton Fatti on the future of digital health

      23 March 2026
      TCS+ | Arctic Wolf unpacks the evolving threat landscape for SA businesses - Clare Loveridge and Jason Oehley

      TCS+ | Arctic Wolf unpacks the evolving threat landscape for SA businesses

      19 March 2026
      TCS+ | Vox Kiwi: a wireless solution promising a fibre-like experience - Theo van Zyl

      TCS+ | Vox Kiwi: a wireless solution promising a fibre-like experience

      13 March 2026
      TCS+ | Flipping the narrative on AI in the Global South - Josefin Rosén

      TCS+ | Flipping the narrative on AI in the Global South

      13 March 2026
    • Opinion
      The conflict of interest at the heart of PayShap's slow adoption - Cheslyn Jacobs

      The conflict of interest at the heart of PayShap’s slow adoption

      26 March 2026
      South Africa's energy future hinges on getting wheeling right - Aishah Gire

      South Africa’s energy future hinges on getting wheeling right

      10 March 2026
      Hold the doom: the case for a South African comeback - Duncan McLeod

      Apple just dropped a bomb on the Windows world

      5 March 2026
      VC's centre of gravity is shifting - and South Africa is in the frame - Alison Collier

      VC’s centre of gravity is shifting – and South Africa is in the frame

      3 March 2026
      Hold the doom: the case for a South African comeback - Duncan McLeod

      Hold the doom: the case for a South African comeback

      26 February 2026
    • Company Hubs
      • 1Stream
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • Ascent Technology
      • AvertITD
      • BBD
      • Braintree
      • CallMiner
      • CambriLearn
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • HOSTAFRICA
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • LSD Open
      • Mitel
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Telviva
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Wipro
      • Workday
      • XLink
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Financial services
      • HealthTech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Policy and regulation
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » News » Sassa breached constitution: Net1

    Sassa breached constitution: Net1

    By Agency Staff3 August 2016
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp

    sassa-640

    South African welfare-grant distributor Net1 UEPS Technologies said a state agency has breached the constitution by amending regulations to prevent deductions from the payments to some of the country’s poorest people.

    In May, the South African Social Security Agency, which oversees the payment of welfare grants to more than 16m people, amended its rules to prevent what it said were illegal deductions for goods and services directly from grants ranging from funeral insurance to mobile phone airtime.

    The amended regulations “unjustifiably infringe beneficiaries’ right to contractual freedom and self-autonomy, which is an incident of the right to human dignity protected” by the constitution, Johannesburg-based Net1 and companies that it part-owns said in court documents filed with the high court in Pretoria last month in preparation for a case due to be heard on 17 and 18 October.

    The assertion that the welfare agency, known as Sassa, has behaved unconstitutionally is the latest development in a dispute that has pitted Net1, its associates and insurance firms providing funeral cover, against the government.

    While the welfare agency says that grant recipients are being taken advantage of because they don’t always understand what they are signing up for, Net1 asserts that they should be allowed to spend their money as they see fit.

    The amendments were made as Sassa said it wanted to stop the sale of funeral insurance for children, which were paid for from child-support grants paid to their parents or guardians.

    “Beneficiaries have been able to enjoy the security and convenience of electronic banking, as well as access to credit facilities, which were previously inaccessible to them under the cash-based payment system,” said Net1, which won the contract to distribute the payments in 2012. The amendments are “an unjustifiable and disproportionate intrusion on the individual autonomy of beneficiaries to regulate their own affairs”.

    Sassa says it has not broken the constitution. The country’s central bank, which has been cited as a respondent in the case, has said in its own court documents that the activities of Net1’s associate companies may constitute a conflict of interest.

    “The legislation clearly says that a social grant may not be transferred, ceded, pledged or in any other way encumbered or disposed of,” Dianne Dunkerley, executive manager of grants administration at Sassa, said by phone from Pretoria. “We are clearly saying that it is not unconstitutional, otherwise we would have not published it.’’

    Net1 shares have declined by 15% in Johannesburg since the government said in May that it would amend the regulations. Over the same period, the benchmark stock index has gained 1,4%.  — (c) 2016 Bloomberg LP

    Follow TechCentral on Google News Add TechCentral as your preferred source on Google


    Dianne Dunkerley Net1 Net1 UEPS Net1 UEPS Technologies Sassa
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticlePolitical shake-up looms as SA votes
    Next Article Telkom vows tough action against ‘saboteurs’

    Related Posts

    Fingerprints, facial scans now mandatory for Sassa grants

    Fingerprints, facial scans now mandatory for Sassa grants

    27 August 2025
    Schreiber finds ally in Capitec as TymeBank cries foul over fees

    Compulsory biometric tests for some Sassa beneficiaries

    24 April 2025
    fraud

    How South Africa’s social grants system was defrauded on a massive scale

    6 January 2025
    Company News
    Mining's problem isn't output, it's execution - Workday

    Mining’s problem isn’t output, it’s execution – Workday

    1 April 2026
    Paratus launches Starlink-powered connectivity for Africa's essential services - Paratus Essential Access

    Paratus launches Starlink-powered connectivity for Africa’s essential services

    1 April 2026
    How consumers can identify a true QLED TV

    How consumers can identify a true QLED TV

    30 March 2026
    Opinion
    The conflict of interest at the heart of PayShap's slow adoption - Cheslyn Jacobs

    The conflict of interest at the heart of PayShap’s slow adoption

    26 March 2026
    South Africa's energy future hinges on getting wheeling right - Aishah Gire

    South Africa’s energy future hinges on getting wheeling right

    10 March 2026
    Hold the doom: the case for a South African comeback - Duncan McLeod

    Apple just dropped a bomb on the Windows world

    5 March 2026

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Latest Posts
    R12.1-billion wasted as government IT projects collapse - Sita

    R12.1-billion wasted as government IT projects collapse

    1 April 2026
    DStv 4K streaming launch is not imminent

    R99 DStv deal to keep Showmax subscribers from bolting

    1 April 2026
    The biggest untapped EV market on Earth is hiding in plain sight

    The biggest untapped EV market on Earth is hiding in plain sight

    1 April 2026
    Mining's problem isn't output, it's execution - Workday

    Mining’s problem isn’t output, it’s execution – Workday

    1 April 2026
    © 2009 - 2026 NewsCentral Media
    • Cookie policy (ZA)
    • TechCentral – privacy and Popia

    Type above and press Enter to search. Press Esc to cancel.

    Manage consent

    TechCentral uses cookies to enhance its offerings. Consenting to these technologies allows us to serve you better. Not consenting or withdrawing consent may adversely affect certain features and functions of the website.

    Functional Always active
    The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
    Preferences
    The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
    Statistics
    The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
    Marketing
    The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
    • Manage options
    • Manage services
    • Manage {vendor_count} vendors
    • Read more about these purposes
    View preferences
    • {title}
    • {title}
    • {title}