Postbank’s multi-million-Rand plan to stop looting of SASSA grants
After technical glitches and rampant looting of SASSA grants, there’s a multi-million-Rand cybersecurity plan in place for Postbank.
At a briefing last week on the looting of SASSA grants, Postbank chief executive Ntomboxolo Mbengashe detailed a new multi-million-Rand cybersecurity plan.
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Unbelievably, in two months in 2021, there was a R90 million looting of SASSA grants. This is what forced the upgrading of Postbank’s cybersecurity. The introduction of the new system is what was blamed for the most recent technical glitches. Last month more than 600 000 old-age grants were paid late.
LOOTING OF SASSA GRANTS
Mbengashe told the portfolio committee that beleaguered recipients suffered so, once KPMG unearthed the R90 million-worth of looting of SASSA grants. Government-run Postbank is contracted by the South African Social Security Agency (SASSA) to distribute social grants. These go out to more than 18.2 million beneficiaries each month.
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Several officials at the bank who helped siphon the SASSA money were suspended and disciplined. Communications and Digital Technologies Minister, Mondli Gungubele, said government was positive it would not encounter more technical glitches. The entire Postbank board was recently fired for its poor governance, which included an illegal R140-million contract with an IT/software company.
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