SIU gearing up for AfriForum’s NSFAS corruption complaint

AfriForum’s complaint of alleged corruption, mismanagement and misuse of funds at the National Student Financial Aid Scheme (NSFAS) involving Dr Blade Nzimande, former Minister of Higher Education, and Ernest Khosa, former Chairperson of NSFAS, has now been handed over to the Special Investigations Unit (SIU) for further investigation. This follows in response to the formal complaint that AfriForum lodged with the Public Protector (PP) on 26 January this year after the release of a report on NSFAS by the Organisation Undoing Tax Abuse (Outa). 

Yesterday evening, AfriForum received a letter from the PP confirming the transfer of the civil rights organisation’s complaint to the SIU. In the letter, it is stated that the complaint lodged with the PP relates to “issues that are being investigated by SIU relating to alleged corruption, maladministration and mismanagement of funds at NSFAS”.

To avoid multiple investigations and conflicting results, the PP has now referred AfriForum’s complaint to the SIU under Proclamation R88. In terms of this proclamation, the SIU is authorised by the President to investigate allegations of corruption and maladministration at NSFAS.

According to Charné Mostert, AfriForum’s Campaign Officer on Corruption, the referral of AfriForum’s PP complaint to the SIU is a positive development and a step closer to justice. “The recent announcement regarding the progress the SIU is making in its other investigations into NSFAS is a hopeful sign and clearly shows the cracks in the scheme’s management of funds – aspects that also come to the fore in AfriForum’s complaint,” explains Mostert. 

Alleged corruption within NSFAS undermines Section 29(1)(b) of the Constitution, which guarantees the right to accessible further education through reasonable state measures. “The alleged corruption at NSFAS deprives many disadvantaged students of further education. These young people depend on NSFAS allowances, not on NSFAS corruption.”

In addition to the complaint, AfriForum also filed a Promotion to the Access of Information Act (PAIA) application with NSFAS earlier this year. Thereby AfriForum requested information regarding NSFAS’ agreements with the four service providers (namely Coinvest Africa, Tenet Technology, Ezaga Holdings and Norraco Corporation) awarded contracts for direct payment of allowances to beneficiaries. AfriForum also sought a copy of the contract awarded to Vision Wave. Vision Wave was awarded a tender worth R44 million in 2022 and is managed by Nzimande’s adviser, Tilson Manyoni. NSFAS has not yet responded to AfriForum’s application.