Parliament, Saturday, 7 December 2024 – The Chairperson of the Portfolio Committee on Higher Education, Mr Tebogo Letsie, commends the Special Investigations Unit (SIU) for recovering R1.7 billion in unallocated funds from institutions of higher learning.
The SIU reported that as part of its probe under Proclamation R88 of 2022, it investigated allegations of corruption and maladministration in the affairs of National Student Financial Aid Scheme (NSFAS).
The unallocated funds were supposed to have been collected by NSFAS at the end of each year from institutions as part of their reconciliation, but NSFAS failed to implement controls that would ensure funds were returned back to them.
Mr Letsie said: “The recovery of R800 million from the University of the Free State and the University of the Witwatersrand is evidence of what the committee has been asserting all along that corruption exists within our universities. These institutions have been known to claim funding for students who were not enrolled or to inflate the amounts claimed, misrepresenting the true cost of study.”
The committee is on record in lambasting the lack of system integration between universities and NSFAS and that this situation needs to be addressed in order to eliminate waste of much needed student funds.
“I have repeatedly emphasized during committee meetings that many universities were siphoning millions from NSFAS. The biggest casualties are the students, and the devastating impact on their lives when funding fails them and desperation takes over cannot be overstated,” said Mr Letsie.
The committee will continue to support NSFAS to improve its systems. It also commended NSFAS for the submission of annual report for the 2022/23 financial year. NSFAS assured the committee for the submission of the 2023/24 outstanding annual financial statements at a proper time.
ISSUED BY THE PARLIAMENTARY COMMUNICATION SERVICES ON BEHALF OF THE CHAIRPERSON OF THE PORTFOLIO COMMITTEE ON HIGHER EDUCATION AND TRAINING, MR TEBOGO LETSIE.
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