Grant payment crisis resolved for now

The Constitutional Court has extended the South African Social Security Agency’s contract with Cash Paymaster Services (CPS) for a year in order to pay social grants to beneficiaries.

CPS is responsible for the distribution of social grants to 17 million beneficiaries. Its contract, which was declared invalid by the Constitutional Court in 2014, would have come to an end on 31 March 2017.

Read: Social grants may not be paid

The court, however, suspended the invalidity so grants could continue to be paid while SASSA made another plan.

Today’s judgment was handed down by Constitutional High Court Justice Johan Froneman.

Also read: Needy parents urged to apply for grants

The court also suspended the declaration of the invalidation of the CPS contract for a period of 12 months from 1 April 2017.

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