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Alleged corruption exposed at NSFAS

───   15:56 Mon, 03 Oct 2022

Alleged corruption exposed at NSFAS | News Article

A registered non-profit civil action organisation alleged that it has uncovered tender corruption worth millions, involving the National Student Financial Aid Scheme (NSFAS).

The Organisation Undoing Tax Abuse (OUTA) says that they have uncovered a tender for a biometric attendance monitoring system awarded to a service provider to the tune of R170 million.

ALSO READ: OUTA uncovers multimillion-rand tender corruption at NSFAS

The project manager at OUTA, Rudie Heyneke, says the alleged discovery of the fraud and irregular awarding of the tender by the controversial student aid scheme was made whilst investigating another state entity.

Heyneke adds, during the investigation, they identified certain individuals and companies that tendered at NSFAS for the very same service provided at the Services Sector Education and Training Authority (SSETA). The tender ended up being cancelled by SSETA due to non-performance. It is alleged that the same individuals that tendered at SSETA, got awarded a tender by NSFAS for the same services, thus raising suspicion.


Heyneke further adds that OUTA has met with the Special Investigation Unit (SIU) and handed over the information on the alleged corruption to the SIU, which recently announced that it will investigate NSFAS.

This follows the President's authorisation to investigate the student aid scheme for corruption, maladministration, and to recover any financial losses suffered by the State through corruption and negligence

ALSO READ: SIU to investigate controversial NSFAS

Meanwhile, NSFAS recently had a briefing on the opening of their application process for 2023 whilst there is still a pending investigation by the SIU.

OFM News is yet to receive a comment from NSFAS.

OFM News/Bambatha Giko

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