Timely intervention saved the ABH Home in Glencoe and other non-government organisations in the area from collapsing when the Department of Welfare and Social Development unilaterally slashed their subsidy.
Dr Sandy Bedassi, ABH chairman, said they had been informed in April this year that the Department would only subsidise 15 out of the 29 residents.
“When we asked the reason why we were told that Department officials would not release any documentation that was for internal use only,” he said.
“We were so concerned as our Home is multi-racial and provides basic care to the aged, destitute and disabled from the poorest of families whose relatives do not have the means to contribute towards their care and stay. The ABH is the only low-cost facility in Northern KZN for those who depend solely on their Government grant.”
The matter was taken up by Dr Rishigen Viranna, KZN MPL for the DA, who wrote to the MEC of Social Development, W Thusi.

‘All outstanding claims have now been settled. An audit is to be conducted in all the facilities (local NGOs) to ensure that this does not happen to other organisations’

“This and other NGOs are under tremendous financial pressure and will not survive a sudden 30% slashing of their Government subsidy. This will mean that they will not be able to pay staff salaries.”
A meeting was held in August with representatives of local NGOs and Social Development officials.
This resulted in MEC Thusi admitting that previously, 28 ABH residents had been subsidised by the Department to the tune of R965 425.
“We have consulted with the ABH committee and an investigation has revealed that the District (Social Welfare Department) had this year incorrectly funded them. All outstanding claims have now been settled. An audit is to be conducted in all the facilities (local NGOs) to ensure that this does not happen to other organisations.” Dr Bedassi said the ABH was ‘very relieved’ and was now in a position to continue with the mission of caring for the needy who they accommodate.