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The Net1 judgment is a disaster says Black Sash

9 May 2017 5:39 PM

Despite the earlier ConCourt ruling, Tuesday's High Court judgment rules Net1 can continue making grant deductions.

Acting Judge Corrie van der Westhuizen ordered that deductions from beneficiaries’ bank accounts should not be hindered by the regulations that govern the social grants payments.

Evashnee Naidu, Black Sash KZN Regional Manager says the ruling has caused confusion even within the Black Sash.

There has been a bit of a misunderstanding of the Constitutional Court case and its impact with regard to deductions.

Evashnee Naidu, Black Sash KZN Regional Manager

Naidu explains that in terms of the relief the Black Sash sought, they were not allowed to speak about the issue of deductions because it was already before the North Gauteng High Court.

The issues the Black Sash raised in the ConCourt was that the confidential information of beneficiaries with regard to the new contract with CPS should be protected. That CPS should not benefit from its contract with Sassa in terms of profit, and that CPS and its subsidiaries should not be allowed to market any of its products to any of the social grant beneficiaries because they were providing a state function.

However, that didn't talk to the deduction issue because we were expecting a judgment on that case through the North Gauteng High Court.

Evashnee Naidu, Black Sash KZN Regional Manager

Black Sash had hoped that because the judgment was not heard before the ConCourt case, the judge would use that ConCourt judgment to guide its decision.

Unfortunately, it seems he did not take that into cognisance, he did not take into cognisance the impact on the beneficiaries as to what would happen if these deductions continued.

Evashnee Naidu, Black Sash KZN Regional Manager

Many of these deductions are contested because they are unlawful, they are unauthorised, and beneficiaries are still going home ...with large amounts being deducted.

Evashnee Naidu, Black Sash KZN Regional Manager

He says Sassa and the minister are dragging their feet with only 11 months left to find an in-sourcing plan.

Elroy Paulus, the Advocacy Manager at Black Sash, spoke to 702's Redi Thlabi about the judgment.

Our legal representative said the judgment is disastrous.

Elroy Paulus, the Advocacy Manager at Black Sash

This judgment may, in fact, encourage service providers and third parties to accelerate the deductions, some of which may or may not be disputed by Sassa beneficiaries...the future is bleak for Sassa beneficiaries control over bank accounts.

Elroy Paulus, the Advocacy Manager at Black Sash

This article first appeared on CapeTalk : The Net1 judgment is a disaster says Black Sash


9 May 2017 5:39 PM

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