Bernadette Wicks
Senior court reporter
3 minute read
15 Apr 2020
5:11 pm

CPS being sued again over ‘R1bn hidden’ Sassa profit

Bernadette Wicks

Freedom Under Law believes the payment contractor may owe the government nearly R1 billion in irregular profits, made from the illegal contract it had with Sassa.

File picture. Sassa beneficiaries queue outside a pay point at Alexandra Plaza in Johannesburg on 30 March 2020. Picture: Nigel Sibanda

Freedom Under Law (FUL) is dragging Cash Paymaster Services (CPS) back to court, claiming the former social grants distributor could owe the South African Social Security Agency (Sassa) almost R1 billion more than it is letting on. In papers filed in the Constitutional Court last week, FUL’s chief executive, Nicole Fritz, said the findings of auditors appointed to verify CPS’ financials - with a view to recouping any profits the company had made as a result of its now invalid contract with Sassa - were “great cause for concern”. She said Rain Accountants had identified a number of areas where...