Plans under way to replace Cash Paymaster Services as grants payer
The Post Office has undergone due diligence by the Council for Scientific and Industrial Research, to see if it can be used to pay grants
The Department of Social Development has started putting systems in place to replace Cash Paymaster Services (CPS) as the payer of social grants.The department was ordered to have a new system in place by April after its contract with CPS was ruled invalid‚ but it ignored the Constitutional Court order.A second court case and judgment in March ordered the department to ensure that it had a new payment system in place.This could save billions of rand as CPS wanted R4.7bn for a two-year contract‚ according to court papers.Social Development Minister Bathabile Dlamini told the media on Friday that the department had done the following to replace CPS:• The Post Office had undergone due diligence by the Council for Scientific and Industrial Research, to see if it can be used to pay grants. Due diligence is an assessment of the Post Office’s capabilities‚ strengths‚ weaknesses‚ debt and assets. The outcome of the assessment and how the Post Office can support grant payments will be announ...
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