SAUS slams Nsfas as ‘gap investigations’ freeze allowances before exams

The South African Union of Students (SAUS) has slammed the National Student Financial Aid Scheme (Nsfas) after students had their allowances frozen because of “gap investigations”, with exams and uncertainty looming.

Gap investigation is a vetting process by the scheme and university financial aid offices to verify student registration, enrolment, and accommodation. The process aims to eliminate ghost students in the system.

Nsfas gap investigation blocks 12 000 allowances – SAUS

According to SAUS, Nsfas has frozen the allowances of more than 12 000 students under gap investigation, despite having qualified for Nsfas.

“At the verge of tests and final examinations, thousands of students have not received their meal allowances from Nsfas, and accommodation allowances have not been paid to landlords,” the union said in a statement on Tuesday.

“This has subjected students to severe hunger, uncertainty, psychological distress, and possible eviction from accommodation providers across the country.”

The student organisation said it finds it unacceptable that students must prepare for exams under such conditions.

Last week, the Nelson Mandela University Student Representative Council (SRC) submitted a list of the students impacted by the gap investigation to the department of higher education and training.

“We understand the frustration, anxiety, and hardship that affected students continue to face, and we will continue applying pressure until meaningful resolutions are provided,” the SRC said in a statement on 13 May.

Board moves to block decision to place scheme under administration

Earlier this month, Higher Education and Training Minister Buti Manamela decided to place the entity under administration, but he said allowances will continue.

The remaining seven board members want to stop the appointment of Prof Hlengani Mathebula as administrator and suspend the implementation of the decision.

SAUS said it had previously warned the department about the instability that placing Nsfas under administration would cause.

“Since the introduction of placing the scheme under administration, many urgent student matters within the sector have either stalled completely or have become increasingly unclear,” the union said.

“To date, there remains uncertainty regarding lines of accountability and communication within Nsfas.”

The union demands Nsfas immediately unfreeze student meal and accommodation allowances and settle outstanding landlord payments to prevent evictions.

They also called for urgent clarity of Nsfas leadership structure for accountability and communication.

Parliament meeting postponed

Meanwhile, parliament summoned the minister, Prof Mathebula, and former board members to a meeting on Tuesday, but the committee postponed the meeting.

Tebogo Letsie, chairperson of the portfolio committee on higher education and training, said the committee postponed the meeting because the department did not submit its presentation.

Manamela was supposed to brief the committee on his decision to place Nsfas under administration.

Letsie said the committee decided at 5pm on Monday to postpone, as it became clear during the day that they would not receive any presentation.

“I then consulted with the Chair of Chairs in the National Assembly, and we agreed that I had to postpone the meeting. This is indeed a worrying trend, and it’s unacceptable,” the chairperson said.

Former board members participate in personal capacity

The committee has also decided to have a meeting with former Nsfas board members to account for what happened while they were at the entity.

Letsie said Nsfas refused to bring the former members, and the administrator only sent a letter to this effect at 4:38pm on Monday, despite the committee requesting their presence on 7 May.

The scheme suggested that former board members can only participate in their personal capacity.

Letsie subsequently asked Mathebula to confirm the reason for the non-attendance in writing on the same day so that the committee could get a legal opinion on the matter. However, the committee only received this letter after 4pm.

“We felt that this was a direct sabotage of the meeting,” said Letsie.

The minister issued his own statement saying that he confirmed his availability and readiness to appear before the committee.

Minister says litigation by former board members causes postponement

“The postponement occurred in the context of urgent litigation proceedings instituted by former Nsfas board members relating to the decision to place Nsfas under administration, as well as related legal and procedural processes currently underway,” the ministry said.

He said he remains fully committed to parliamentary accountability and will engage with the portfolio committee on a suitable future date for the meeting.

“The minister further reiterates that all decisions taken regarding Nsfas have been guided by the need to protect student funding continuity, restore governance stability, strengthen accountability, and safeguard the long-term integrity and sustainability of Nsfas as a critical public institution serving poor and working-class students,” the ministry added.

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