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The queue for Emergency Welfare Grants outside the Redhill Post Office in Durban.
Photo: Nokulunga Majola / GroundUp
- The FIU has halted payments from the Covid-19 TERS relief fund following concerns raised by the Auditor General over a lack of controls.
- The acting FIU commissioner said they were addressing the issue and would be back in operation as soon as possible.
- He added that those who defrauded the system would face the law.
New and pending application payments for the Covid-19 TERS relief fund have been temporarily halted following concerns raised by the Auditor General of South Africa (AGSA).
In a statement from the Department of Employment and Labor and the Unemployment Insurance Fund (UIF) on Saturday, the pause in payments would allow the department to improve controls and address the gaps identified by the AGSA.
Acting FIU Commissioner Marsha Bronkhorst said people who had defrauded the system would face the law and that the police would investigate the cases.
“There are already some cases that we have brought to SAPS for investigation and prosecution, 35 out of a total of 146.
“This also serves as a warning to those who may have intentions of trying to defraud the system. Not only will it be more difficult to do so, but even if they are successful, the law will eventually catch them and they will pay to steal the workers,” Bronkhorst said.
He added that AGSA identified deficiencies in the payments of Covid-19 benefits that have already been collected by the administration.
“Some had already been corrected in the June payments, but we will continue to improve systems to respond to the needs of our beneficiaries and make payments effective and efficient,” Bronkhorst said.
He said steps had been taken to ensure that systematic challenges regarding payments were addressed, and said the system would be ready as soon as possible.
These steps included accessing the databases of the South African Social Security Agency (Sassa), the National Student Financial Aid Program (NSFAS), and Internal Affairs.
“These departments and institutions are currently busy checking the FIU database to ensure that payments are reaching the right people.”
The institution had also updated its system to ensure that bank verification proceeded more quickly.
“We are also currently working hard to improve our Covid-19 TERS application portal to ensure that it becomes a self-service portal to the extent possible to make things easier for employers and employees,” he said.
“As soon as the improvements are completed, we will be in a position to ensure that workers in this country have a mattress that makes their lives easier,” he added.
