SA Post Office too broke to pay its suppliers, says DA.
THE DA’s spokesperson for communication, Solly Malatsi, MP, said the South African Post Office (Sapo) was “too broke” to pay its suppliers, making it one of the worst violators of the government’s commitment to settle invoices within 30 days.
This came after a reply to a parliamentary question by the DA, that the Post Office currently owed its suppliers R485 million stemming from 196 unpaid invoices.
The amount included 116 invoices totalling R119m that have allegedly not been paid within the required 30-day period, and a further 63 invoices amounting to R270m that had not been paid for more than 120 days.
Malatsi said that while President Cyril Ramaphosa consistently waxed lyrical about his administration’s commitment to ensuring the payment of invoices within 30 days, the Post Office continued to “shamelessly defy this without any consequences”.
He said it was more concerning that there was no hope that the Post Office would be able to pay the suppliers it owed soon, as the Ministry of Telecommunications had stated that “the Post Office does not have the required funds to settle its liabilities”.
“The devastation the Post Office causes to businesses, many of which are small, medium and micro enterprises, with its failure to pay suppliers is destroying livelihoods.
“The DA will continue to utilise all Parliament’s accountability mechanisms to push for the payment of government suppliers on time. We encourage all businesses with unpaid invoices to visit the DA’s portal to get assistance,” said Malatsi.
Meanwhile, Sapo spokesperson Johan Kruger said the turnaround plan for the Sapo of tomorrow had been approved and was being implemented.