Auditors to manage schools’ R82m payout

The Eastern Cape Education Department has appointed auditors PricewaterhouseCoopers (PwC) to administer an R82-million payment to more than 90 schools in the province‚ the Legal Resources Centre said yesterday.

The schools won a class-action suit last month when Judge Judith Roberson granted financial relief sought by the schools, which had hired teachers to fill vacant posts.

Roberson ordered that the department hire accountants to verify the amount owed to schools within 20 days‚ and pay R82-million to the fund within two months. According to the judgment‚ PwC will conduct a verification exercise to audit the claims from individual schools‚ which spent their own money hiring staff.

It was the first registered opt-in class-action in South Africa and the first court order to appoint a claims administrator to manage the payment of a large claim‚ the Legal Resources Centre said.

– Karl Gernetzky – BDlive

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