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Social Development Minister Bathabile Dlamini maintains that there was nothing “sinister or inappropriate” about her decision to make her “work stream” leaders report directly to her.
Dlamini was testifying at an inquiry into her personal role and liability in the social grants crisis in 2017. The inquiry was held at the office of the chief justice in Midrand on Monday morning.
Dlamini appointed these controversial “work streams” to deal with the administering of social grants. In June last year, the Treasury reported that the appointment of these “work streams”, which formed parallel structures to the South Africa Social Security Agency’s operations and who reported directly to Dlamini, was irregular.
The fiasco over who would pay social grants and how they will be paid came to a head last year, with the livelihoods of more than 17 million South Africans under threat, and Dlamini being pitted against Treasury and her Cabinet colleagues.
In 2014, the Constitutional Court ruled that the process Sassa had followed to award the contract to a company called CPS was extremely flawed and had to be scrapped.
The state was given three years to correct it or find a new service provider.
The deadline to do so was March 31 last year. But as the social security agency dragged its heels, the deadline loomed and still it remained unclear how the grants to South Africa’s poorest were going to be paid.
After weeks of panic, the social development department announced that that it had reached another agreement with CPS.
An inter-ministerial committee was tasked to deal with the issue, and eventually signed a “landmark” deal with the Post Office to handle core functions of a new system.
There would also be an increased role for commercial banks and retailers, to give beneficiaries more choice.
The government’s new hybrid model for the social grants scheme would cost the same as the current, “invalid” deal with Cash Paymaster Services.
The Constitutional Court appointed Judge Bernard Ngoepe to head the inquiry to investigate whether Dlamini should be held personally liable for the costs incurred during the grant payment crisis.
The inquiry is to investigate whether Dlamini sought the appointment of individuals to lead the various “work streams” to report directly to her.
The three work streams – which were “information and business management”, “banking services and project management, legislative and policy requirements management”, and “benefits and local economic development” – appeared to exist in parallel with the function of the department and social security agency . The leaders of these workstreams acted as advisers to Dlamini, before they were appointed to lead the work streams, a move that was said to be illegal and irregular.
The Constitutional Court ordered the inquiry to investigate the details of the appointments in terms of when the individuals were appointed, who they reported to, and the details of the dates and contents of the work streams’ report to the minister. Lastly, the inquiry would look into why the minister did not disclose this information to the Constitutional Court.
In a witness statement submitted to the inquiry, Dlamini said: “It is true that I directed that the specific work stream leaders be appointed by the social security agency to lead work streams, and that the leaders of the work streams would report directly to me during the implementation process. There is nothing sinister or inappropriate in this decision.”
Former chief executive of the social security agency, Thokozani Magwaza, said in an affidavit last year, that the work streams were given a broad mandate to take over the implementation of the project and that the social security agency was instructed not to interrupt or delay them in their work.
However, speaking through an interpreter on Monday morning, Dlamini denied that the work streams were established to undermine the work of the social security agency or interfere with its work.
She said she had directed work stream leaders to report directly to her because she “needed to be sure” about the work being done. Dlamini testified that the work stream leaders were established due to their experience.
The hearings continue. – News24
