UIF still processing COVID-19 TERS April/May payments
The Unemployment Insurance Fund (UIF) is to continue processing COVID-19 temporary employee/employer relief scheme (TERS) new claims for April and May until a cut-off date is announced.
UIF Commissioner Teboho Maruping said this is in line with the agreement reached by the Department of Employment and Labour, and the National Economic Development and Labour Council (Nedlac) social partners to extend the 14-day window period for new COVID-19 TERS applications made for April and May.
The 14-day notice window period is still to be announced, and employers and employees will have an opportunity to submit applications before the cut-off date.
Maruping said the UIF is working tirelessly to ensure that all valid COVID-19 TERS benefits claims for April, May and June are settled, as it gears up to open the system for the new extended period of six weeks, ending on 15 August 2020.
“There are numerous challenges to handling applications. However, detailed FAQ [frequently asked questions] guiding employers to handle any error codes will be issued to enable processing for payment. To reduce the number of outstanding claims, the UIF is re-running updates on declarations on the system twice a week.
“Added to that, the UIF makes payments every day, except on Sundays, in order to fast-track outstanding claims. The Fund is also working on a number of front-end adjustments to the system to enable applicants to fix some of the errors on their own, which will greatly ease the load on our side and improve the flow,” Maruping said.
The UIF also expressed its appreciation for the collaboration and support received from employers, bargaining councils and other organisations across the board to resolve outstanding claims.
He said incidents of fraud have prompted the Fund to introduce the verification of banking details before payment is released into the applicant’s bank account.
“The UIF is reliant on banks to ensure bank details verification. In instances where claims have failed bank verification, we appeal to employers to update the banking details on the system. The process to be followed will be outlined in the FAQs that will soon be made available on the department’s website and the TERS online system,” Maruping said.
Maruping said the Fund has made this activity the responsibility of the client because of its sensitive nature, but most importantly, it removes the potential of officials meddling with client’s private information.
R37 billion benefit claims paid
As the Fund prepares to open the system for COVID-19 TERS benefit claims for July and August, Maruping said an amount of R37 133 662 558.77 has so far been paid for 693 561 applications, benefitting 8 298 307 workers.
“With the testimonies that we are receiving, it is quite clear to us that these disbursements have made a real difference to millions of people dependent on the workers who received these cash injections. As the Fund, it is an honour for us to have played this part and will do so until 15 August, armed with learnings from the past three months.
“The Fund will leverage its resources to ensure that it continues to process those claims that are in the system and honour those that are valid, in line with commitment it has made to various parliamentary committees and the workers in this country,” Maruping said.
NSFAS officially opens applications for 2021
Higher Education, Science and Innovation Minister, Dr Blade Nzimande, on Monday officially opened the National Student Financial Aid Scheme (NSFAS) 2021 application cycle.
This year, the NSFAS application cycle will run for a period of four months starting from Monday, 3 August until the closing date of 30 November 2020.
NSFAS applications are open for students from poor and working-class backgrounds who wish to further their studies at any public Technical and Vocational Education and Training college (TVET) or university.
To be eligible for NSFAS funding, applicants must be a South African citizen, come from a family with a combined annual household income of not more than R350 000 per annum and for students with disability, the combined annual household is an income of not more than R600 000 per annum.
“In the current academic year, NSFAS has funded over 700 000 students, 248 242 at TVET colleges and 481 339 at universities (students with registrations data), this is a 20% increase from the previous year when comparing registration data received in the same period 2019 versus 2020,” said Nzimande.
The Minister said NSFAS accounts for 40% of the undergraduate population at universities and 70% at TVET colleges.
Applications for 2021 funding will be done online via myNSFAS portal as per previous years.
The NSFAS portal has undergone minor enhancements and changes informed by the lessons learned in the previous applications cycles. Some of the enhancements are for user experience, while some are security features.
New applicants need a copy of their ID or birth certificate to register and create a profile on the myNSFAS portal. Applicants with existing accounts need to log into their accounts, they are only allowed to create one profile.
The applicant will be required to give consent for personal information verification with NSFAS third parties. An applicant will not proceed to create a profile without giving this consent. This feature allows NSFAS to conduct a three-step verification process with the Department of Home Affairs where an ID number will be linked to the name and surname of the applicant and parent details.
In response to the current status quo due to the COVID-19 pandemic, applicants will not be required to submit or upload the consent form, however, an applicant will need to accept the electronic consent form, along with the terms and conditions for funding.
The application system will still require a student to submit their supporting documents, which comprise of an ID copy, parent/guardian proof of income, parent/guardian ID copies and/or Annexure A for applicants with disability.
“While great work for 2021 application cycle is underway, I want to reassure our current beneficiaries that the department, along with NSFAS, is working tirelessly ensuring that the 2020 academic year is saved and concluded to usher in the new academic year,” said the Minister.
He urged qualifying students to make use of the opportunity and apply for funding on time.
NSFAS has strengthened its partnership with the Department of Basic Education to increase its reachability, specifically for learners in Grade 10 to 12.
DPE welcomes Eskom’s efforts to recoup lost funds
The Department of Public Enterprises (DPE) has welcomed steps taken by Eskom to recoup funds lost to State Capture corruption.
Eskom and the Special Investigative Unit (SIU) announced on Monday that a set of summons has been issued in the North Gauteng High Court to recover funds from former Eskom executives, former Board members, members of the Gupta family and their associates and others.
“This is an essential milestone in the fight against corruption and State Capture and ensuring that those that were found to be complicit and benefited from the malfeasance that resulted are held accountable,” said the department on Monday.
As the shareholder representative on behalf of the government, the DPE supports the claim for damages of about R3.8-billion, and future investigations by the SIU in terms of a presidential proclamation of 2018.
The DPE said it will work closely with the power utility and other state-owned companies to ensure that all other instances of corruption covered at the Zondo Commission and through media investigative reports are addressed.
“We are confident that the legal action will give impetus to the broader fight against massive corruption, which must not only see funds recouped, but also ultimately lead to the arrests and criminal prosecution of suspects,” said the department.
The DPE urged law enforcement agencies to expedite the criminal cases opened against the natural and juristic persons identified to be complicit in this action to ensure that they face the full might of the law.
President Ramaphosa vows to curb COVID-19 looting
President Cyril Ramaphosa has vowed to nip in the bud alleged corruption in the procurement of much-needed goods and services in the fight against COVID-19.
The President made the declaration on Monday in his weekly newsletter after the public was recently inundated with such allegations of personal protective equipment prices being inflated, food parcels being stockpiled as well as state resources being illegally diverted from the vulnerable and destitute.
The funds being allegedly looted are part of the R500 billion relief package announced by government in March. COVID-19 in South Africa has already infected over 500 000 people, while claiming over 8 000 lives.
Describing the apparently pillaging as “heinous”, he vowed that perpetrators would be dealt with “decisively and harshly”.
“Attempting to profit from a disaster that is claiming the lives of our people every day is the action of scavengers. It is like a pack of hyenas circling wounded prey,” the President wrote.
“As we find ourselves in the grip of the greatest health emergency our country has faced in over a century, we are witnessing theft by individuals and companies with no conscience.”
The insidious behaviour was not limited to smaller companies but large corporates as well, said the President. Some have already been caught, investigated, found guilty and fined for excessive pricing.
“These stories have caused outrage among South Africans. They have opened up the wounds of the state capture era, where senior figures in society seemed to get away with corruption on a grand scale,” President Ramaphosa said.
This, he said, was threatening to undo the work done to disrupt and dismantle the networks that had infiltrated government, state companies and even our law enforcement agencies to loot public resources.
“We have rebuilt vital institutions like the National Prosecuting Authority, SA Revenue Service and the Hawks. Through the establishment of bodies like the Investigating Directorate in the NPA, we have strengthened the hand of law enforcement to investigate and prosecute these crimes. And through the establishment of the SIU Special Tribunal, we have increased our capacity to get back funds stolen from the state.”
Despite this, President Ramaphosa said it was clear more needed to be done to decisively curb the scourge.
Just over a week ago, the President signed a proclamation authorising the Special Investigating Unit (SIU) to investigate any unlawful or improper conduct in the procurement of goods and services during the national state of disaster.
This is a broad remit that extends across all spheres of the state and provides for civil proceedings to recover misappropriated funds.
Every six weeks, the President will receive interim reports on the cases at various stages of investigation and prosecution. When investigations yield evidence of criminality, they will be speedily referred for prosecution.
“Experience here and in many other countries shows that a multidisciplinary approach to tackling the commission of alleged criminality is needed for the fight against corruption to be successful. A broad range of investigative and prosecutorial capabilities need to be brought together under one roof,” the President writes.
“‘Fusion centres’ that draw together different agencies for better information and intelligence sharing, to pool resources and to streamline operations are common practice in a number of countries.”
A special centre has been established that brings together the Financial Intelligence Centre, the Independent Police Investigative Directorate, National Prosecuting Authority, the Hawks, Crime Intelligence and the SAPS Detective Service, South African Revenue Service, Special Investigating Unit and the State Security Agency. The President said this will immensely strengthen government’s response.
“These bodies are now working together not just to investigate individual allegations, but also establish linkages between patronage networks that are trying to hide their activities. Because of this cooperation, prosecutions should proceed more quickly and stand a better chance of success,” the President wrote.
President Ramaphosa added that government needs to, for example, look to extend the responsibility of its multi-disciplinary team of investigators and prosecutors beyond COVID-related crimes.
“We should use the current approaches and methods to dramatically strengthen the fight against corruption,” he said.
“If, as public servants and political office-bearers, we claim to be serious about restoring public trust that has been severely eroded by corruption, we must avoid even the perception of conflicts of interest.
“If as public servants and political office-bearers we truly care about the public whose interests we claim to represent, we must allow ordinary members of the public who have interest in doing business with government a fair chance to bid for such business opportunities, instead of passing on inside information about opportunities to our families and friends.”
While there were regulations in place to discourage public servants from doing business with the state, declarations of interests in anyone bidding for state work, including whether anyone connected to the bid is employed by the state, this was clearly not enough, he said.
“While everyone in South Africa has a right to engage in business activities, we are faced with the real problem of families and friends of political office-bearers or public servants receiving contracts from the state,” he said.
“Not all conduct of this sort is necessarily criminal, but it does contribute to a perception and a culture of nepotism, favouritism and abuse. And it undermines public confidence in the integrity of our institutions and processes.
“We are determined to finally deal with the entrenched patronage networks that enable government employees to bid for state contracts through their friends and relatives. This requires not only better laws and stronger enforcement, but also political will and social mobilisation.”
State recovers funds lost through corrupt activities
Eskom and the Special Investigating Unit (SIU) on Monday issued summons in the North Gauteng High Court to recover funds from former Eskom executives, former Board members, members of the Gupta family and their associates, as well as others.
“The funds were lost in a concerted effort corruptly to divert financial resources from Eskom, to improperly and illegally benefit the Gupta family and entities controlled by the said family and their associates during their 2015-16 acquisition of the operations of Optimum Coal Holdings Limited (OCH),” a joint statement by Eskom and the SIU said.
The delictual claim for damages that Eskom suffered relates to the recovery of approximately R3.8 billion in funds illegally diverted from Eskom to help the Gupta family and its associates to acquire the operations of OCH, which owned the Optimum Coal Mining (Pty) Ltd that supplied the Hendrina power station with coal.
The further delictual claim for damages pertains to the payments that were unlawfully made to Trillian by Eskom Executives.
The defendants are former Eskom employees Brian Molefe (Group Chief Executive Officer); Anoj Singh (Chief Financial Officer); Matshela Moses Koko (Group Executive: Generation and former Acting Group Chief Executive Officer); as well as Suzanne Margaret Daniels (Company Secretary and Group Legal Head).
Eskom also seeks damages against non-executive directors Baldwin Ben Ngubane (Board Chairman); Chwayita Mabude (Board Member); Mark Vivian Pamensky (Board Member); Mosebenzi Zwane (former government minister of Mineral Resources); Salim Aziz Essa; Rajesh Tony Gupta; Atul Gupta and Ajay Gupta (collectively referred to as the “Gupta Brothers”).
“All of the former executives and Board members breached their fiduciary duty of care and good faith to Eskom, and acted in a concerted State Capture effort with the Gupta Brothers, Mosebenzi Zwane and Salim Aziz Essa to illegally divert funds from Eskom.
“The Gupta Brothers owned the majority shares in entities (Oakbay Investments Limited and Fidelity Enterprises Limited) that in turn owned the majority shares in Tegeta Resources and Exploration,” the entities said in the statement.
The Gupta Brothers are currently fugitives from justice in South Africa and are based in Dubai; as well as Salim Aziz Essa, who is also a fugitive from justice in South Africa and based in Dubai.
“These 12 defendants acted in a concerted effort whose objective was the corrupt, alternatively irregular, diversion of resources from Eskom. As a result of their actions in the acquisition of OCH during this period, Eskom suffered at least R3.8 billion in losses which it is legally obliged and morally burdened to recover, together with the interest thereon,” the statement said.
R61m disbursed as relief for creative, sport sectors
The Department of Sport, Arts and Culture has, through its COVID-19 Relief Fund, disbursed R61 million to beneficiaries in the creative and sport sectors.
Addressing a virtual media briefing on Monday, the Minister of Sport, Arts and Culture, Nathi Mthethwa, said his department received a total number of 5 322 applications in the categories of sport, digital, as well as arts, culture and heritage.
“Through the adjudication and appeals processes, 4 602 applications were then recommended. A total of 1 570 were not recommended. There are currently 117 outstanding applications being finalised by the department,” the Minister said.
The COVID-19 Relief Fund was established to support the sectors as they are amongst those hardest hit by the economic impact of the COVID-19 pandemic.
Second wave of relief
In response to the plight of practitioners in the sector, the department has conceptualised a second wave of relief. The second wave will take into account the shortcomings and experiences of the first rollout.
“In conceptualising the second wave of relief, the department listened to the plight of practitioners. The department further conducted a number of consultations with those who were involved in the process of administering relief, including, amongst others, sector organisations, panellists and our national entities,” the Minister said.
Mthethwa said his department has taken into consideration the commitments for the unpaid beneficiaries in the first phase, estimated at R34 million.
“For the second phase, the amount that is allocated for relief is R77 million, of which R11 million is been ring-fenced for contribution towards the partnership with the Department of Small Business Development,” the Minister said.
The department has partnered with Department of Small Business Development (DSBD) to assist the Cultural and Creative Industries Federation of South Africa (CCIFSA) for the craft, design and visual arts sectors in relief.
The two departments have agreed to jointly set aside R22 million for this project.
“A Memorandum of Agreement (MoA) will be entered into on how the funds will be administered. [Selection] criteria and the appointment of an adjudication panel are currently being finalised. The relevant industry bodies will be consulted for their expertise. Hopefully by end of August, the process of distribution will commence,” the Minister said.
CCIFSA and other organisations will be integral in the planning of the second phase of COVID-19 Relief Funding.
They will be given a platform to outline their plans in supporting their members.
All applications in the sports sector must be submitted through national federations.
Solidarity Fund
The Solidarity Fund has made available 10 000 food or cash vouchers of R700 to the department, amounting to R 7 million.
“The department will, together with the provinces, develop a list of beneficiaries that will receive vouchers. Beneficiaries will be identified in both urban and rural areas. Those that are receiving social grants and Unemployment Insurance Fund (UIF) will be excluded from benefiting,” the Minister said.
The vouchers will be made available to athletes, artists, freelancers and other eligible practitioners.
They will be distributed by channels identified by the Solidarity Fund. The department is currently in the process of finalising the MoU with the Solidarity Fund.
Public Protector investigating COVID-19 corruption, misconduct
Public Protector, Advocate Busisiwe Mkhwebane, has announced that her office has launched various investigations related to COVID-19.
In a statement issued on Monday, the Office of the Public Protector said this comes after the institution was inundated by complaints of suspected misconduct and service delivery failure in the last four months.
“Service failure allegations account for a lion’s share of the grievances, with as many as 450 people having approached the office to complain about what they deem unreasonable grounds for declining their applications for a R350-a-month special social relief of distress grant,” the office said in the statement.
For those who lost employment during the pandemic, government announced the Temporary Employee/Employer Relief Scheme, which is to be dispersed through the Unemployment Insurance Fund. The grants were among several interventions announced by President Cyril Ramaphosa in March in an effort to soften the impact of the virus on society.
“In most cases, the complainants either allege that they were not provided with reasons as to why their applications were unsuccessful or that the applications were declined on the basis that the applicants were found to be recipients of some form of income or that they qualified for UIF, which they disputed,” the Public Protector said.
Mkhwebane’s office has also began investigations into alleged maladministration and irregularities on the procurement processes relating to the R37 million Beitbridge Border Post Fence as well as the R30 million Gauteng e-Government Information Technology tender.
In Mpumalanga, the office is investigating alleged irregularities in the awarding of a Quarantine Camp tender, in which it is alleged that the facility that won the tender was in a dilapidated and hazardous state.
“In KwaZulu-Natal, the office is probing allegations of irregularities in the procurement of Personal Protective Equipment (PPE) by the provincial Department of Education. It has been alleged that the department procured the PPE at inflated prices,” the office said.
In the Eastern Cape, the office is investigating allegations of procurement procedures being floated in the sourcing of a quarantine site as well as suspected irregularities in the procurement of e-learning material valued at R400 million.
Beyond this, the office has initiated an investigation into alleged misappropriation of funds and maladministration by the Eastern Cape Health Department in the medical scooter project.
The office said it is also investigating a raft of complaints related to food parcels, expat repatriation, waste management, water supply.
In this regard, the office has appointed a steering committee consisting of 10 senior investigators. The team will be led by the office’s executive manager.
In the statement, Mkhwebane said: “We have been consistent in our call on the bureaucracy to exercise prudence when it comes to the spending of public funds on COVID-19 related goods and services. We have stressed that deviation from normal procurement processes is not a declaration of an open season to pillage”.
The Public Protector said she has already met several stakeholders relating to the investigations. Among these are several ministers as well as the Auditor-General and the representative of the Special Investigating Unit.
Payment options expanded for R350 grant beneficiaries
The South African Social Security Agency (SASSA) has introduced new flexible methods recipients can use to receive their R350 grant, which will be paid until the end of October.
Recipients are now allowed to move their cash from the Post Office to a bank account of their choice, or vice versa. They may even change banks or choose a cash send option.
Clients who opt for cash send must also use the cell phone registered in their name only.
This means clients now have an opportunity to receive their grants at their chosen and convenient outlets.
Applications to switch payment options are open from today (Monday, 3 August) to Sunday, 9 August, 24 hours a day.
Approved applicants or clients of the COVID-19 Social Relief of Distress Grant can change their payment preference by visiting https://srd.sassa.gov.za.
The R350 is aimed at unemployed South Africans, who are not receiving any other official financial assistance, as the country grapples with the effects of the COVID-19 pandemic.
According to SASSA, the responses to frequently asked questions about the relief grant can be found on the WhatsApp platform on 082 046 8553 or SASSA website www.sassa.gov.za.
Department releases revised school calendar
The Department of Basic Education has released a revised school calendar for the 2020 academic year.
“In terms of the new version of the calendar, schools will resume on 24 August 2020. There are 163 actual school days for teachers and 156 for learners,” the department said on Saturday.
The school year will be completed on 15 December 2020 for Grades R-11.
“A break in school will be needed to separate the third and fourth terms. As a result there will be a one week break in October from the 26th to the 30th. The teaching, learning and assessment for the 2020 academic year must be concluded by 15 December 2020 for Grades R-11,” the department said.
The 2020 Grade 12 examinations will be completed by 15 December and the marking will be concluded on 22 January with results released on 23 February 2021.
The new school year will commence on 25 January 2021 for teachers and learners a few days later.
The calendar will be gazetted and published this week.
“The Minister will issue directions for the basic education sector this coming week. The directions will provide guidance on various matters affecting the basic education sector,” the department said.
The review of the school calendar comes after a Cabinet decision that schools should break for four weeks.
In his address to the nation last month, President Cyril Ramaphosa announced that schools will close on 27 July and re-open on 24 August.
“The department considered the impact of the decision on the current calendar. The policy process to amend the school calendar commenced taking into account the urgency of the matter as necessitated by the prevalent COVID-19 environment.
“The consultation process has been concluded with all stakeholders and the Council of Education Ministers approved the revised school calendar,” the department said.
This is the second time this year that the school calendar has been revised to accommodate the changes that have been brought by the impact of the Coronavirus.
Overnight accommodation for hunters
Overnight accommodation for hunters will be permitted after further amendments are made to the Directions for the biodiversity sector.
“Permitting hunters to sleep over at their hunting destinations, within the province in which they live, is in line with this week’s Cabinet decision to ease restrictions around leisure travel,” Environment, Forestry and Fisheries Minister, Barbara Creecy, said.
The amendments follow last week’s announcement by Tourism Minister Mmamoloko Kubayi-Ngubane, that people will now be allowed to leave their homes for leisure purposes within the province where they live and make use of accommodation for leisure purposes within their province of residence.
Creecy said the department is amending the Directions for the biodiversity sector to align with Kubayi-Ngubane’s announcement.
“The approach to new amendments to the Directions for the biodiversity sector will align with the announcement by the Minister of Tourism, and will depend on the scope of the leisure activities that will be permitted in terms of the Regulations of the Disaster Management Act, [which will] be published,” Creecy said.
The amended Directions for the biodiversity sector are expected to be published this week.