Net1 UEPS: Report muddies the waters
Attempt to set the record straight may look impressive, but it is by no means conclusive
At first glance, Net1’s "record straightener" looks impressive. A 37-page report by KPMG plays the central role, with backup provided by a few legal sources, a supplier and several court judgments. Perhaps the "ongoing, repetitive and false accusations about its business practices" are unjustified and, as Net1 claims, have no merit. But spend more than a few hours on it (cross-referencing with some key filings to the securities & exchange commission not included in the pack) and it becomes clear Net1 will have to do a lot better than this. Perhaps this is just the company’s first attempt at clearing up the controversy that surrounds its handling of the contract to distribute social grants to 11m recipients each month. Perhaps in the coming weeks the Net1 board will provide access for an independent investigation. Such an investigation should include Grindrod Bank’s activities and interrogate the issues much more broadly, including deductions not just from SA Social Security Agency (...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.