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
      Vodacom targets satellite-to-phone service in South Africa next year

      Vodacom targets satellite-to-phone service in South Africa next year

      10 November 2026
      Vodacom eyes SA and Kenya for AI data centre hubs after Egypt - Shameel Joosub

      Vodacom eyes SA and Kenya for AI data centre hubs after Egypt

      10 November 2026
      Eskom chairman Mteto Nyati and energy minister Kgosientsho Ramokgopa speak to the media in Irene, Pretoria

      South Africa’s first new nuclear reactors could be online by 2036

      10 November 2026
      Comsol's 5G network pricing comes into view

      Comsol’s 5G network pricing comes into view

      10 November 2026
      Safaricom ruling tripped default clauses in Vodacom's loans

      Safaricom ruling tripped default clauses in Vodacom’s loans

      10 November 2026
    • World
      John Ternus faces first big test as Apple CEO - John Ternus

      John Ternus faces first big test as Apple CEO

      2 November 2026
      Alleged Israeli spy company heavily targeted Starlink users

      How online ads were used to hunt Starlink users

      28 October 2026
      Anthropic's IPO stands alone

      Anthropic’s IPO stands alone

      23 October 2026
      PHP flaws trigger global scramble as hackers pounce

      PHP flaws trigger global scramble as hackers pounce

      22 October 2026
      OpenAI turns the tables on Apple in trade secrets fight

      OpenAI turns the tables on Apple in trade secrets fight

      15 October 2026
    • In-depth
      Ducking hell: inside Apple's hidden list of words the iPhone won't suggest

      Ducking hell: inside Apple’s hidden list of words the iPhone won’t suggest

      6 November 2026
      Why investors are souring on Netflix

      Why investors are souring on Netflix

      22 October 2026

      10 days that changed the course of AI

      21 September 2026
      Meta to the AI industry: slow down without us - Mark Zuckerberg

      Meta to the AI industry: slow down without us

      16 September 2026
      Google DeepMind CEO Demis Hassabis. Image: John Sears

      The plan to stop AI from breaking the world

      16 July 2026
    • TCS
      TCS+ | Old Mutual's Celiwe Ross on leading people through AI - Old Mutual

      TCS+ | Old Mutual’s Celiwe Ross on leading people through AI

      6 November 2026
      TCS+ | How the Apple ecosystem drives productivity for SMEs - Sudesh Pillay iStore and Kevin McLennan

      TCS+ | How the Apple ecosystem drives productivity for SMEs

      6 November 2026
      TCS+ | Vox on AI, data rules and omnichannel communication for SMEs

      TCS+ | Vox on AI, data rules and omnichannel communication for SMEs

      26 October 2026
      TCS | The Cape Town firm quietly connecting Eskom, Pep and 6 000 ATMs - Réan van Niekerk, Metacom

      TCS | The Cape Town firm quietly connecting Eskom, Pep and 6 000 ATMs

      23 October 2026
      TCS+ | Boards are underestimating the cost of a cyberattack, says Arctic Wolf - Jason Oehley and Andre Den Hond

      TCS+ | Boards are underestimating the cost of a cyberattack, says Arctic Wolf

      22 October 2026
    • Opinion
      Icasa's Sim rules need a privacy backstop - Lloyd Matthew and Heinz Vollmer

      Icasa’s Sim rules need a privacy backstop

      5 November 2026
      AI's boardroom honeymoon is over - Gary Stocks

      AI’s boardroom honeymoon is over

      22 October 2026
      Before South Africa licenses Starlink, it should look at Ukraine - Duncan McLeod

      Before South Africa licenses Starlink, it should look at Ukraine

      21 October 2026
      Nonkqubela Thathakahle Jordan-Dyani

      Why cybersecurity is now a national security issue for South Africa

      15 October 2026
      When a machine can choose, who does it become? Fanie van Rooyen

      When a machine can choose, who does it become?

      9 October 2026
    • Company News
      • 1Stream
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • Ascent Technology
      • AvertITD
      • BBD
      • Braintree
      • CallMiner
      • CambriLearn
      • CM.com
      • Contactable
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • HOSTAFRICA
      • Incredible Business
      • iONLINE
      • IQbusiness
      • Iris Network Systems
      • Kaspersky
      • LSD Open
      • Mitel
      • NEC XON
      • Netstar
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Publishared
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Telviva
      • Tenable
      • Vertiv
      • Videri Digital
      • Vodacom Business
      • Vox
      • 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
      • Fintech and payments
      • HealthTech
      • Information security
      • Internet and connectivity
      • Internet of things
      • Investment
      • IT services
      • Lifestyle
      • Policy and regulation
      • Public sector
      • Retail and e-commerce
      • Satellite communications
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
      • Watts & Wheels
    • Events
    • Advertise
    TechCentralTechCentral
    Home » In-depth » Unearthing the rot at ‘failed entity’ Sassa

    Unearthing the rot at ‘failed entity’ Sassa

    By Ray Mahlaka25 May 2018
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    Get breaking news on WhatsApp

    Former social services minister Bathabile Dlamini (image c/o GCIS)

    While state capture architects have profited from state-owned enterprises, South Africa might have missed the quiet ruin of another key organ of state.

    The South African Social Security Agency (Sassa), which plays the critical function of distributing social grants, has all the hallmarks of the destructive state capture project.

    The industrial-scale corruption and waste of state resources in the Jacob Zuma years have confirmed the worst fears: that state organs have been captured and the 1994 promise of a state free of corruption has been betrayed.

    As you may already know, the mechanics of the project look like this: establish an infrastructure of enriching a politically connected few, appoint compromised individuals to key state positions and abuse state resources under the guise of service delivery.

    Like compromised state-owned companies, Sassa has become a toxic network with Dlamini’s friends appointed to key positions

    A standing committee on public accounts (Scopa) hearing in parliament this week revealed that Sassa may as well join the ranks of tainted institutions Eskom, Transnet, South African Airways and the Passenger Rail Agency of South Africa.

    “A failed entity” and “a personal piggy bank for officials” is how MPs described it, as the agency revealed irregular, fruitless and wasteful expenditure of R1.4bn for the 2016/2017 financial year. The scale of plunder was under the regime of incompetent former social development minister Bathabile Dlamini and former Sassa acting CEO Pearl Bhengu.

    A breakdown of the wasteful expenditure beggars belief.

    Bhengu personally signed off contracts — in a day — worth R16m for four educational events in KwaZulu-Natal in December 2017 to “educate grant beneficiaries about the new grant system”. Only three of the educational events eventually took place.

    Bhengu is said to have pushed through the contracts without verifying if any of the costs for the education events were accurate.

    The costs for the educational events were all below R500 000, which would require Bhengu to comply with standard tender and procurement procedures. This means that she failed to comply with the Public Finance Management Amendment Act.

    The costs quoted by suppliers for the events:

    • A marquee for R485 000;
    • Flooring for R482 000;
    • Chairs and “decor” for R487 000;
    • Catering for R493 000;
    • Transport for R493 000;
    • A sound system for R492 000; and
    • Gifts and promotions worth R480 000

    MPs suspect that the costs may have been inflated. Independent Online reported that one of Sassa’s suppliers, Sweet Basil Promotions, benefited from an R11m contract despite the company’s owner being investigated for allegedly swindling the agency of R400m.

    The agency is a repeat offender.

    For the 2015/2016 financial year, the R3.5m spent on security services for Dlamini and the family of her spokeswoman Lumka Oliphant was flagged as irregular. It blew R42m on the workstreams — a parallel function that was established in July 2016 and comprised of Dlamini’s handpicked advisers to investigate Sassa’s capacity to take over social grant payments from Cash Paymaster Services. The workstreams were led by Dlamini’s friend Zodwa Mvulane and were cancelled in July 2017 after national treasury deemed them as irregular expenditure.

    Toxic network

    Bhengu is no longer the acting Sassa CEO but remains with the agency in KwaZulu-Natal, while Dlamini was shifted to the women’s ministry in the presidency. Their exits don’t absolve them from accountability as both have been called to appear before Scopa for their affinity for splashing taxpayers’ money.

    Like compromised state-owned companies, Sassa has become a toxic network with Dlamini’s friends (Bhengu and Mvulane) appointed to key positions. Mismanagement of the agency also compromised service delivery. Sassa can no longer run itself as it has to be supervised by the constitutional court to ensure that it functions properly and avoids a social grants crisis.

    Much is at stake if grant payments to 10.7m beneficiaries are delayed; South Africa would descend into social unrest, and the livelihoods of recipients, who are already facing the brunt of government’s service delivery failures, would be in jeopardy.

    A clean-up is underway at Sassa, with new social development minister Susan Shabangu promising to “deal with individuals” who engineered the mess. It will be foolhardy of us to expect quick fixes as individuals that did the behind-the-scenes work for Dlamini and Bhengu are still at Sassa.

    In politics and the business of governing, words are hollow, but action speaks volumes.

    • This article was originally published on Moneyweb and is used here with permission
    Add TechCentral as a preferred source on GoogleFollow TechCentral on Google NewsGet breaking news on WhatsApp


    Cash Paymaster Services CPS Jacob Zuma Pearl Bhengu Sassa Susan Shabangu top
    WhatsApp YouTube
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleMeet the CEO: Altron’s Mteto Nyati
    Next Article BT could sell its fixed-line network

    Related Posts

    ANC's 'worst nightmare' unfolds as its vote collapses

    ANC’s ‘worst nightmare’ unfolds as its vote collapses

    5 November 2026
    Post Office wants R2.2-billion from government as it braces for another loss

    Post Office wants R2.2-billion from government as it braces for another loss

    19 October 2026
    Sun International CEO Ulrik Bengtsson, who launched the group's responsible gambling charter

    Sun International launches gambling charter as tax fight looms

    13 October 2026
    Company News
    The hidden risks of fragmented IT and unenforced SLAs - ITC Systems Durban

    The hidden risks of fragmented IT and unenforced SLAs

    10 November 2026
    Why AI-powered customer experience will decide South Africa's festive retail winners - CM.com

    Why AI-powered customer experience will decide South Africa’s festive retail winners

    10 November 2026
    Traditional QA undermines modern customer experience - Martie de Beer, Telviva

    Traditional QA undermines modern customer experience

    10 November 2026
    Opinion
    Icasa's Sim rules need a privacy backstop - Lloyd Matthew and Heinz Vollmer

    Icasa’s Sim rules need a privacy backstop

    5 November 2026
    AI's boardroom honeymoon is over - Gary Stocks

    AI’s boardroom honeymoon is over

    22 October 2026
    Before South Africa licenses Starlink, it should look at Ukraine - Duncan McLeod

    Before South Africa licenses Starlink, it should look at Ukraine

    21 October 2026

    Subscribe to Updates

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

    Latest Posts
    The hidden risks of fragmented IT and unenforced SLAs - ITC Systems Durban

    The hidden risks of fragmented IT and unenforced SLAs

    10 November 2026
    Why AI-powered customer experience will decide South Africa's festive retail winners - CM.com

    Why AI-powered customer experience will decide South Africa’s festive retail winners

    10 November 2026
    Vodacom targets satellite-to-phone service in South Africa next year

    Vodacom targets satellite-to-phone service in South Africa next year

    10 November 2026
    Vodacom eyes SA and Kenya for AI data centre hubs after Egypt - Shameel Joosub

    Vodacom eyes SA and Kenya for AI data centre hubs after Egypt

    10 November 2026
    © 2009 - 2026 NewsCentral Media
    Built and maintained by Chronon
    • 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}
    🇿🇦 Sign up to the TechCentral newsletter