By Zuko Komisa
- Over R5.1 billion in NSFAS funds was improperly disbursed to 40,000 ineligible students across 76 institutions.
- While R2 billion has been recovered, systemic delays leave thousands of legitimate students without qualifications due to unpaid fees.
- MPs are investigating four direct-payment intermediaries paid R559 million, as student leaders demand National Treasury intervention.
An investigation by Public Protector Advocate Kholeka Gcaleka has exposed widespread NSFAS funding abuse, revealing that over R5.1 billion was improperly paid to more than 40,000 ineligible students across 76 higher education institutions.
While authorities have managed to recover R2 billion, the report underscores severe systemic maladministration. Key issues include chronic delays in funding confirmations and thousands of students having their qualifications withheld due to unsettled accounts.
In the official press release, Advocate Gcaleka stressed the urgency of systemic reform:
“The scale of maladministration not only deprives deserving students of essential financial support, but also severely undermines the integrity of our higher education funding system.”
In response to the findings, Parliament will cross-examine four financial intermediaries who received R559 million in service fees since 2024. Simultaneously, student leaders are urging the National Treasury to step in and enforce strict oversight to safeguard future funding.
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