The NSFAS administrator, Professor Khlengani Matebula, has faced increasing scrutiny after Parliament determined that payments to his advisors had procedural flaws and recommended the return of those funds.
The Portfolio Committee on Higher Education and Training demanded action against the administrator of the National Student Financial Aid Scheme (NSFAS) because it was found that payments to his advisors were made without the necessary authorization from the Ministers of Higher Education and Finance.
During a briefing on Wednesday, the committee raised questions about whether the remuneration and allowances for four of the administrator's advisors were approved in accordance with the NSFAS Act. Committee Chairperson Tebogo Letsie stated that the process used by the administrator was both legally and procedurally flawed.
Letsie recommended a thorough review of the matter and urged the Minister to take action against the administrator for actions that completely contradict the mandate to transform NSFAS.
It was reported that some advisors received payments directly into bank accounts, while others preferred to receive funds through their companies. This drew additional criticism from lawmakers, who questioned why the administrator continued to act despite advice from NSFAS supply chain department staff regarding proper procedures.
Letsie accused Matebula of unnecessarily prolonging the discussion about payments, noting that an admission of error could have been made instead, allowing the focus to shift to other issues.
The committee concluded that the payments were irregular and recommended that the advisors immediately return the money they received. Furthermore, the committee proposed establishing mechanisms to address situations where the Ministry of Finance delays approval, provided there is evidence of having requested the necessary permissions.
Meanwhile, Minister Manamela informed the committee that the ministry is working to stabilize NSFAS and resolve ongoing issues, including hundreds of unresolved student appeals, student loan scheme problems, and ICT and data management concerns.
Matebula defended the progress made under his leadership, stating that NSFAS has transformed from an institutionally-oriented model into four regional service hubs and has brought partner accommodation payments back into the system. He reported that 61.5% of university allocations and 59.2% of Technical and Vocational Education and Training (TVET) college allocations have already been paid out. However, he acknowledged that a significant issue remains: an outstanding amount of 10.49 billion rand for 2026 university tuition fees owed to universities.
