NEHAWU welcomes the SIU investigation at NSFAS

27 August 2022

The National Education, Health and Allied Workers’ Union [NEHAWU] welcomes the proclamation by President Cyril Ramaphosa authorising the Special Investigating Unit (SIU) to investigate allegations of corruption and maladministration at the National Student Financial Aid Scheme [NSFAS] and recover any financial losses suffered by the institution through corruption and negligence.

The probe by the SIU will focus amongst others on two areas namely: management of NSFAS’s finances and the allocation of loans, bursaries and any other funding payable to students in terms of the NSFAS Act. The SIU will also investigate related unauthorised, irregular or fruitless and wasteful expenditure incurred by the NSFAS.

As NEHAWU, we welcome this investigation into the scheme as it’s long overdue and will play a critical role in uprooting the scourge of corruption and maladministration that engulfs the institution. The national union has been in the forefront of highlighting the dire state of NSFAS for the past couple of years due to poor governance, maladministration and mismanagement of finances at the institution.

We have on numerous occasions highlighted that the scheme has deviated from its core mandate of providing loans and bursaries to eligible students at public higher education institutions and for the administration of such loans and bursaries as a result of the malfeasances at the institution.

As NEHAWU, we pride ourselves as a union that is fundamentally opposed to any acts of corruption, poor governance, maladministration and mismanagement of resources. As a major stakeholder in the post schooling and training sector we welcome this decision as the institution [NSFAS] remains a critical instrument in the realisation of providing access to free quality education for poor and working class students.

The malfeasance at NSFAS has compromised the post schooling and training sector and has contributed to the bearers besetting the sector which including the following amongst others; financial and academic exclusion of students, lack of student funding, student accommodation and housing as a result of maladministration and corruption at the scheme.

Lastly, as NEHAWU we will continue working with our progressive allies in the higher education terrain to fight and struggle for the transformation of NSFAS into an instrument that will serve and cater for the needs of poor and working class students.

Issued by Zola Saphetha, General Secretary, NEHAWU, 29 August 2022