The Constitutional Court has brought closure to a protracted legal dispute over South Africa’s social grants system, ordering Cash Paymaster Services (CPS) to repay more than R81 million in profits derived from a contract previously declared invalid. SASSA confirmed that it is committed to following the Constitutional Court’s ruling to bring the matter to a close
The unanimous judgment, handed down on Wednesday, compels CPS to return R81,286,177 in profits deemed unlawful after a contract with SASSA was previously declared invalid. The ruling marks the culmination of years of litigation stemming from the widely scrutinised social grants payment saga, which has been under legal scrutiny for nearly a decade.
The matter stems from litigation first brought before the Constitutional Court in February 2017, when civil society organisations challenged the legality of SASSA’s contract with CPS.
At the centre of the case is the landmark Black Sash Trust v Minister of Social Development, which sought to ensure constitutional oversight and safeguard millions of vulnerable beneficiaries dependent on the social grants system.
SASSA welcomed the ruling, describing it as a decisive step towards restoring integrity and accountability in the management of public funds.
Themba Matlou, SASSA CEO said the judgment underscores the strength of South Africa’s legal framework and its commitment to upholding the rule of law.
“The judgment delivered on Wednesday, 08 April 2026, affirms the rule of law and the supremacy of the apex court in South Africa.”
“We are satisfied with the order handed down by the justices of the Constitutional Court. We believe this is a vital precursor to addressing other outstanding issues concerning CPS and finally close the chapter”.
Matlou said the agency would fully comply with the court’s directives as it moves to resolve remaining matters linked to CPS, signalling an intention to bring closure to the long-running dispute.
“SASSA will abide by all the directives issued by the Constitutional Court and put the matter to bed,” he added.
The Star