Top read this week | Judge Nugent rules in Sassa’s favour in R1.3bn CPS claim
Pensioners queue to collect their grants at a Sassa pay point in Jeppes Reef, Mpumalanga. Picture: SOWETAN/SANDILE NDLOVU
CPS’s contract with Sassa came to an end in 2018 after a number of Constitutional Court judgments. In 2014, the Court found that the contract Sassa had signed with CPS two years earlier was illegal and invalid. However, the contract was allowed to continue to allow Sassa to find another alternative for distributing social grants.
One of the claims lodged by CPS at arbitration related to the company believing it was entitled to enroll all beneficiaries on its computerised system, irrespective of whether they were to be paid by it. CPS claimed this constituted a breach of its exclusive rights to render the services in respect of the provinces that it serviced, being the Eastern Cape, KwaZulu-Natal, Limpopo, North West and the Northern Cape.
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