SASSA Employees Appear in Court Over Grant Card Fraud, Face Over 1,000 Charges

Five Sassa employees appear at the Lenasia Magistrate’s Court, south of Johannesburg, 17 March 2025, for fraud. Picture : Nigel Sibanda/The Citizen

Five South African Social Security Agency (SASSA) employees, Phumzile Dlamini, Paul Bones, Phumelele Myeza, Keamogetswe Ledwaba, and Phiwe Mkhuzangwe, appeared in the Lenasia Magistrate’s Court on Monday, 18 March 2025, facing over 1,000 fraud-related charges in connection with a large-scale social grant fraud scheme. The suspects, aged between 30 and 48, were arrested on 14 March 2025. Three were taken into custody at SASSA’s Johannesburg Central offices, while one suspect was arrested at her residence in Soweto.

Investigators allege that the accused played key roles in manipulating the SASSA grant payment system by issuing and cloning SASSA cards. These fraudulent cards were then used to withdraw funds that were meant for legitimate social grant beneficiaries. The accused are suspected of having processed numerous illegal transactions over a prolonged period, affecting vulnerable individuals who rely on social grants for their livelihood. Initial reports suggest the fraudulent scheme may have cost the state millions of rands, though investigators are still working to determine the full financial extent of the crime.

During their court appearance, the prosecution stressed the seriousness of the charges, stating that the accused were involved in a well-coordinated operation that severely undermined the social grant system. They argued that the suspects posed a flight risk, considering the scale of the alleged crime, and requested that they remain in custody. Additionally, prosecutors indicated that the investigation is ongoing and suggested that more arrests could be made as further details of the fraud emerge. The defense attorneys, however, applied for bail, claiming that their clients were not a threat to public safety. The court reserved judgment on the bail application, and a decision on whether the suspects will be granted bail is expected in the coming days.

This case adds to a growing list of fraud scandals involving SASSA employees. In 2023, SASSA officials were implicated in a similar scheme where fraudulent accounts were created, with the proceeds of these fake grants being siphoned off into private accounts. In 2022, a high-profile case revealed a syndicate within the agency that illegally processed disability grants, leading to millions of rands being misappropriated. These repeated instances of fraud have raised concerns over the adequacy of internal controls at SASSA and the need for stricter oversight.

In response to these incidents, SASSA has pledged to bolster its security measures and improve internal monitoring systems to prevent further abuse of the social grant system. The agency also emphasized its commitment to rooting out corruption within its ranks and has stated that it will cooperate fully with law enforcement in the ongoing investigation. However, public trust in the agency remains low, and there have been growing calls for harsher penalties for those involved in defrauding the system, as well as for the implementation of stronger regulatory measures to protect vulnerable South Africans.

As the legal process unfolds, the accused will remain in custody while the court decides on their bail application. Investigators are continuing to explore the full scope of the alleged fraud, and further arrests cannot be ruled out as the investigation progresses. This case has drawn significant attention, both within the public sector and among ordinary South Africans, who are now questioning the integrity of the social grant system and the ability of government agencies to prevent corruption.