SIU to collect over R100 million from unqualified NSFAS beneficiaries
SIU to collect over R100 million from unqualified NSFAS beneficiaries
Blog Article
Friday, July 19, 2024
The Special Investigating Unit (SIU) has signed Acknowledgement of Debt (AoD) agreements with 421 students who did not qualify to be funded by the National Student Financial Aid Scheme (NSFAS).
SIU Spokesperson, Kaizer Kganyago, said the total value of the AoD amounts to R112 174 825,97.
“In addition to the AoDs, the SIU has made progress in recovering unallocated funds with the University of Fort Hare being the latest university to pay back unallocated funds of R277 666 450. This brings the total of recoveries to R1 165 887 062,” Kganyago said.
The SIU has so far recovered the following funds from institutions of higher learning:
• West Coast College- R5 057 679.00
• Northlink College- R33 369 404.97
• Walter Sisulu University- R19 900 174.00
• Nkangala TVET- R342 672.50
• University of Mpumalanga- R33 668 138.19
• University of Zululand- R58 088 144.65
• University of Fort Hare- R277 666 450.00
• University of Pretoria- R400 000 000.00
• Majuba TVET College- R25 902 309.31
• University of Johannesburg- R311 892 088.94
The SIU expressed its gratitude to the cooperative attitude of parents and unqualified NSFAS beneficiaries who have signed the acknowledgement of debt and agreed to repay the money over some time.
“The SIU is urging unqualified NSFAS beneficiaries who have not been in contact with the unit to come forward and arrange for more info repayment,” Kganyago said.
An SIU investigation has revealed that NSFAS failed to design and implement controls to ensure that there is an annual reconciliation between the funds disbursed to institutions of higher learning and the allocation of those funds to the students.
These control weaknesses have led to overpayments and underpayments of funds to the different institutions over the period of website 2017 to date.
NSFAS has appointed a service provider to assist in performing the reconciliation via a “close-out reporting” process which is still ongoing.
Kganyago noted that the SIU is in terms of Proclamation R88 of 2022, authorised to investigate allegations of corruption and maladministration in the affairs of NSFAS and to recover any financial losses suffered by the State through corruption and negligence.
“The SIU is empowered to institute a civil action in the High Court or a Special Tribunal in its name, to correct any wrongdoing uncovered during both investigations caused by acts of corruption, fraud, or maladministration.
“In line with the Special Investigating Units and Special Tribunals Act 74 of 1996, the SIU will refer any evidence pointing to criminal conduct it uncovers to the check here National Prosecuting Authority (NPA) for further action,” Kganyago said. – SAnews.gov.za