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Fifteen people were arrested on Saturday morning over fraud involving the SA Social Security Agency (Sassa) in the Western Cape, the agency said.
Six money lenders were arrested in George and 320 Sassa cards were found in their possession, spokesman Paseka Letsatsi said in a statement.
They also had R19,000 cash in their possession.
Nine people were arrested in Oudtshoorn.
A total of 422 Sassa cards, 42 bank cards and 85 ID documents were found in their possession as well as R22,810 in cash.
Letsatsi said they were arrested after it was found that Sassa grants were misused.
They contravened laws governing social grants.
“The usage of the Sassa card as a guarantee for a loan, is in contravention of the Social Assistance Act as well as the National Credit Act for money lenders to enter into money lending transactions with social grant beneficiaries.”
He said card owners would be traced and be issued with warnings.
“They will all be issued with warning letters stating that they illegally used their Sassa cards to partake in money lending schemes, and that should the card be found in the possession of money lenders or any other third party again, the social grant will be cancelled,” said Letsatsi.
Eight people were arrested in December 2012 in George and Uniondale. - Sapa