Latest news with #Sassa
The Citizen
21 hours ago
- The Citizen
Pensioner loses over R8000 of her Sassa grant
QUESTIONS have been raised about the recent programme launched by Postbank and the South African Social Security Agency (Sassa) to transition from old cards to a new card system. Also read: No double grant payments for June, Sassa confirms The mounting concerns come after an 84-year-old pensioner has been left without her social grant for three consecutive months after her pension card was allegedly cloned during the transition to the new Postbank card system. Laurel Prangley from Montclair has had a total of R8400 fraudulently withdrawn from her account at various locations, including a recent withdrawal of R2700 in Richards Bay without her knowledge or authorisation. Despite repeated attempts by her family to report the issue to Sassa and Postbank, the matter remains unresolved. Prangley's grant has not been reinstated. Her daughter Rene Gleisner said the problem was discovered in February when her husband attempted to withdraw the pension, and received a slip indicating insufficient funds. 'I called Sassa immediately to report the matter and asked them to block the card, but they failed to do so. In March, the money was withdrawn again, and then again in April,' she said. In February this year, Sassa and Postbank announced the transition from the gold card to a new black card system. She believes the fraud may be linked to the card transition process. 'It's suspicious that this started while I was changing my mother's Sassa gold card to the new black Postbank card,' she said. The card was allegedly cloned in Chatsworth The family had visited Chatsworth shopping centre, where two employees believed to be Sassa officials were assisting beneficiaries with the card switchover. 'I followed all the procedures and was told her next grant payment would be deposited into the new account. That never happened. I reported the card again last week to the fraud helpline, and they assured me that it has been blocked,' she added. The ordeal has taken a toll on the elderly woman's health and dignity. 'She has a disability and relies on her grant to purchase medication. We've been passed from pillar to post without any resolution,' said her daughter. Authorities have yet to confirm how the card was cloned, but in February Sassa issued warnings about ongoing scams targeting pensioners receiving payments at the post office. Prangley's family is calling on Sassa to act swiftly to secure her account and reimburse the stolen funds. They say the financial strain of covering her medication and personal expenses is becoming unsustainable. Sassa issues advice to the affected family KZN spokesperson for Sassa, Sandy Godlwana, said the customer care will follow up and investigate. 'They will advise the client accordingly how she can be assisted. The gold card though is a Postbank card,' she said. Godlwana said the client needs to: Report immediately, go to her bank Make an affidavit at a police station Visit Postbank to report the incident in detail. Attempts to get a comment from Postbank were unsuccessful. For more Southlands Sun news, follow us on Facebook, Twitter and Instagram. You can also check out our videos on our YouTube channel or follow us on TikTok. Subscribe to our free weekly newsletter and get news delivered straight to your inbox. At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!
The Citizen
a day ago
- Business
- The Citizen
Postbank responds to card cloning scam
POSTBANK has issued an urgent advisory to all social grant beneficiaries following an increase in reports of card cloning fraud. The bank is calling on affected individuals to immediately report any suspicious activity or suspected card cloning to its fraud department. This comes after an 84-year-old pensioner from Montclair lost R8400 of her grant in a suspected card cloning scam. The SUN published a story about Laurel Prangley's financial loss last week. To read more click here. Also read: Help spread the warmth with Pick n Pay's Soup for South Africa campaign Postbank has urged grant beneficiaries to report suspected fraud and unauthorised transactions directly to its fraud department, which is responsible for investigating and resolving such matters. 'Postbank has implemented a multi-layered fraud prevention framework aligned with banking industry standards and legal requirements under the Banks Act and the Financial Intelligence Centre Act. This includes card chip security, internal controls, and ongoing customer due diligence. 'The creation of robust customer awareness is also amongst the initiatives we are undertaking, given that some bank fraud incidents are perpetrated by criminals through scams that take advantage of customers,' read the statement. Prangley's daughter Rene Gleisner told The SUN that the issue was discovered in February when her husband attempted to withdraw the pension from an ATM but received a slip indicating insufficient funds. She believes the fraud may be linked to the card transition process. 'It's suspicious that this started while I was changing my mother's Sassa gold card to the new black Postbank card,' she said. The family had visited Chatsworth shopping centre early this year, where two employees believed to be Sassa officials were assisting beneficiaries with the card switchover. Also read: Pressure mounts for surveillance cameras in crime hotspot areas However, Postbank stated that it has not yet received a formal complaint from either the pensioner or her daughter. 'No formal report has been submitted to the Postbank fraud department regarding Prangley's card. As such, we cannot confirm any deactivation until the appropriate process has been followed. We have contacted the client and advised her to complete necessary documentation in line with our internal processes to enable necessary investigations,' said Postbank. Postbank said once an investigation is initiated they: Take various remedial steps including blocking the compromised card, Issue a replacement card, and safeguarding account credentials. 'These steps are guided by internal fraud protocols and customer protection measures,' Postbank said in a statement. In February, Sassa and Postbank announced the transition from the gold card to a new black card system. Postbank could not comment on whether Prangle's ID or card details had been cloned or compromised during the card migration process. 'This possibility cannot be confirmed without a formal report and investigation. However, the card migration process adheres to stringent encryption and security protocols, including Payment Card Industry Data Security Standard and chip-based security features, to mitigate cloning risks,' Postbank said. What steps are being taken to ensure the pensioner receives her next grant payment securely? Once a report is received, Postbank can implement remedial actions such as account or card blocking, issue a new card, and ensure secure disbursement of future grants. Is it possible to issue a new card with a different account number immediately? Once an investigation is initiated, Postbank takes various remedial steps including blocking the compromised card, issuing a replacement card, and safeguarding account credentials. What is the expected timeline for resolving such issues? Clients typically receive an acknowledgement and reference number within 48 hours of submitting a valid complaint. The overall resolution timeframe depends on the complexity and available evidence, but regular updates are provided throughout the process. Does the client receive updates or reference numbers during the investigation? Once a case is formally lodged, Postbank will issue a reference number and provide ongoing updates to the client throughout the investigation, in line with our customer communication protocols and conduct standards. For any suspected fraudulent activities, the public are urged to: Report to Postbank's fraud team via fraud@ Or call fraud hotline on 0800 53 54 55. Postbank advised clients who are not satisfied with the outcome of their investigation to escalate the matter to the National Financial Ombudsman. For more Southlands Sun news, follow us on Facebook, Twitter and Instagram. You can also check out our videos on our YouTube channel or follow us on TikTok. Subscribe to our free weekly newsletter and get news delivered straight to your inbox. At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!
The Citizen
3 days ago
- Business
- The Citizen
Themba Matlou officially new Sassa's CEO: Here's what we know
Matlou's permanent appointment follows his interim leadership role, which began when former CEO Busisiwe Mamela was suspended in November last year. The Cabinet has officially confirmed the appointment of Matsobane Themba Matlou as the CEO of the South African Social Security Agency (Sassa), says the department of social development. The appointment concludes a period of interim leadership at the agency and represents a strategic move to restore governance and stability to an organisation serving millions of South Africans. SASSA family celebrates Mr Themba Matlou's appointment as CEO! With over 22 years of public service and a strong track record in grants administration, Matlou is ready to lead from the front.#SASSACARES #SASSACEOAppointment — SASSA (@OfficialSASSA) May 29, 2025 Background to Matlou's Sassa CEO appointment Matlou's permanent appointment follows his interim leadership role, which began when former CEO Busisiwe Mamela was suspended in November last year. Memela was reportedly suspended on full pay amid an investigation into her appointment. According to Minister of Social Development Nokuzola Sisisi Tolashe, Mamela's precautionary suspension resulted from issues raised by the Public Protector. Following Mamela's suspension, Matlou assumed the role of acting CEO. The permanent CEO position was subsequently advertised this year amid speculation about Mamela's potential dismissal. However, when approached by The Citizen, the department clarified that the position was advertised in preparation for the end of Mamela's term, while refusing to comment on the investigation's outcome. ALSO READ: 'Myriad of serious issues' – Why Sassa CEO Memela-Khambula has been suspended Matlou's public service experience According to the department, at 49, the Limpopo-born executive brings over 25 years of distinguished public service experience to his new role, with particular expertise in grants administration, strategic leadership, financial oversight and fraud risk management. Matlou is well-acquainted with Sassa's operations, having held various leadership positions in the agency for more than a decade before being appointed as acting CEO in December 2024. Prior to his appointment as an executive, he served as regional executive manager in multiple provinces including Limpopo, Gauteng, Mpumalanga, Free State and KwaZulu-Natal. The department said Matlou oversaw large-scale grant operations, including a R10 billion contract that served 11 million beneficiaries nationwide. ALSO READ: Sassa CEO's multimillion-rand package revealed amid suspension and grant hikes Sassa CEO academic credentials and professional development Matlou's academic foundation includes a master of management in governance from the University of the Witwatersrand and a bachelor of technology in public management from the University of South Africa. 'He has also completed specialised training in programme and project management, as well as public financial management at the University of Pretoria,' the department said. Before joining Sassa, Matlou developed his leadership capabilities in senior roles at the Mpumalanga office of the premier and the Mpumalanga department of health, where he spearheaded strategic planning and research initiatives. ALSO READ: Social development didn't fill all its vacancies — here's why Vision for service excellence According to the departmern, the new CEO's vision centres firmly on service excellence and operational improvement. 'He is committed to improving the customer experience by reducing long queues and promoting a culture of responsiveness among staff.' The department added that his strategic priorities include strengthening the agency's staffing capacity, driving operational efficiencies through automation and innovative technology, and intensifying anti-fraud initiatives through collaboration with key partners. 'He also aims to enhance risk management and uphold sound governance practices across the agency.' ALSO READ: Sassa grant increases and SRD extension in 'Budget 3.0': What you need to know Industry support and collaboration The National Development Agency (NDA) has expressed strong support for the appointment, extending its 'heartfelt' congratulations. 'As a sister agency under the department of social development, we look forward to continued collaboration in advancing the lives of South Africans, especially the most vulnerable,' the NDA said. It added that Matlou's appointment came at a critical time for SA's social development journey. It expressed its confidence in his vision, commitment and experience, saying that these qualities would 'further strengthen Sassa's impact'. 'We wish you every success in this important role and reaffirm our shared mission of building a more just and inclusive society.' NOW READ: Sassa offices 'reach capacity for the day'? We have no policy to turn people away, says agency
The Citizen
5 days ago
- Business
- The Citizen
Sassa recipients warned: Grant money at risk as thousands switch to personal bank accounts
The committee warned that Sassa beneficiaries are seeing their grant values shrink due to rising bank fees. Thousands of social grant recipients in the North West are abandoning their South African Social Security Agency (Sassa) cards in favour of personal bank accounts. This comes as the portfolio committee on Health and Social Development in the North West Legislature raised alarm over the financial impact of bank service fees on vulnerable citizens. During an oversight meeting with the Sassa and the Department of Social Development, the committee said that choosing personal bank accounts could unintentionally 'diminish the value of their grants'. 'These beneficiaries may not realise that they are losing money to transaction fees and service charges, funds that are meant to support their most basic needs,' said committee chairperson Karabo Magagane. Thousands opt for banks amid card confusion Sassa beneficiaries currently can choose to have their grants paid directly into their personal bank accounts or access them via the Sassa-linked Postbank card. Sassa reported that 43 945 beneficiaries in the province have switched to receiving their monthly payments through private bank accounts, rather than using the Sassa gold cards or the newer Postbank black cards. The migration to Postbank black cards followed a security breach affecting the gold cards, prompting the South African Reserve Bank (SARB) to initiate the card transition process. While the initial deadline for the switch was 31 May 2025, that cut-off has now been scrapped, allowing beneficiaries to use either option. 'People were rushing to switch cards, some even under pressure. Now, they need clarity and reassurance that their current cards are still functional. You need to ensure that this is communicated widely,' Magagane urged officials. ALSO READ: Sassa CEO's multimillion-rand package revealed amid suspension and grant hikes Accessibility challenges and extra costs The committee also expressed frustration over the limited number of Postbank conversion sites in the province, with only 12 currently operational. According to Magagane, many elderly citizens are forced to travel long distances to reach these centres, which could be influencing the trend towards private bank accounts. 'Many of our elderly citizens live far from these centres […] this could be a driving factor behind the shift to personal bank accounts,' she said. In addition to official bank charges, informal fees are also taking a toll. The committee heard that some spaza shops charge R10 per cash withdrawal, further reducing the net amount received by grant recipients. 'This completely defeats the purpose of a social grant. A grant is supposed to alleviate poverty, not get eaten up by unnecessary charges,' said one committee member. ALSO READ: Sassa grants are being paid from next week: Here's when and how much you'll receive Ongoing engagement promised In response to the concerns, the committee committed to working closely with Sassa and Postbank to ensure beneficiaries are well-informed and supported. 'We are committed to ensuring that no beneficiary is left behind. We will push for ongoing awareness campaigns, improved accessibility, and sustained outreach efforts so that every grant recipient understands their options and the implications of each,' Magagane said. The committee is expected to reconvene in the coming weeks to evaluate progress and review plans to address the issues raised. NOW READ: More than 200 000 will experience Sassa grant delays — here's why
IOL News
6 days ago
- Business
- IOL News
Constitutional Court to decide on CPS's profits from unlawful social grants contract
The lucrative R10 billion social grants tender is still subject to litigation between the government, non-governmental organisations, and the company contracted to pay social grants. Image: File The long-running legal battle over the payment of social grants by Cash Paymaster Services (CPS) is set to be settled by the Constitutional Court over the company's profits from the lucrative deal. Lobby group Freedom Under Law (FUL) has approached the apex court in a bid to force CPS to produce documents proving the company earned from the unlawful social grants contract. The organisation wants CPS's profit from the contract to be calculated properly and repaid to the SA Social Security Agency (Sassa) with documents showing how much the profits were. On Tuesday, the Concourt heard that CPS only declared R252 million and that the profit could be understated by as much as R800 million, according to papers filed by the parties. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ 'We now know, as the court did not know when it ordered the profit accounting, that CPS has significantly benefited from the unlawful social grants contract. Its independent audits filed with this court show the profits were R252m. 'That is the floor of its unlawful benefit. RAiN investigations and reports, while inconclusive, suggest that the amount may be over R1 billion,' FUL argued. RAiN is the company of chartered accountants asked to investigate the profits received by CPS after the Concourt ruled that its contract was unlawful but allowed it to continue paying social grants. The court heard that the Lesaka Group, previously CPS' parent company Net1, advised the market that its loss of the Sassa social grants contract had led to a reduction of its profit by approximately R5bn. 'The no-profit, no-loss equilibrium allowed the court to permit an unlawful contract to continue for five years, and then even ordered it extended (beyond its original tendered and contracted term) for a further year and a half to protect the many millions of beneficiaries whose constitutional rights would be violated if the payment of social grants (however unlawful the means) ceased,' the court heard. CPS is currently under liquidation, and its liquidators insist that they have handed all the documents in their possession to the auditors looking for the money paid to the company for its contract. 'We respectfully submit that this court should order a just and equitable remedy to ensure the determination of CPS's profits in line with the proposals and considerations,' the company told the Constitutional Court. FUL continued: 'When the court held that the no-profit principle, which means not allowing profit from unlawfulness, and prevented the perpetuation of unlawfulness, it was clear that any such profits were received not as a private party but as an organ of state discharging constitutional obligations to ensure that beneficiaries' rights were not violated by any disruption in the payment of social grants.'
