Wrong payments to students rocket by 300% to R1 billion in a year - NSFAS

[Jopie Fourie]

Incorrect payments to students at SA universities and colleges by the national financial aid scheme increased over 300% between 2017/18 and 2018/19, resulting in over R1 billion in irregular expenditure - and a qualified audit.

The National Student Financial Aid Scheme tabled its annual report in Parliament this week. The scheme provides financial assistance to eligible students at public universities and Technical and Vocational Education and Training, or TVET, colleges. In 2018 over 600 000 students qualified for financial assistance.

The report states that in the 2017/2018 financial year the scheme incurred R210m in irregular expenditure for paying out incorrect amounts to students or institutions for loans or bursaries. This increased by 370% in the 2018/2019 financial year to more than R1 billion.

Wrong payments to students rocket by 300% to R1 billion in a year - NSFAS | Business

The National Student Financial Aid Scheme provides financial assistance to eligible students at public universities and colleges.

www.fin24.com

 

[Jopie Fourie]

What a great place to cut expenses, cancel NSFAS and start repaying Eskom debt to save the economy.

 

[TheMightyQuinn]

"Incorrect payments" = scam/corruption

Business as usual...

 

[grok]

Africa..

If only they'd redirect that ingenuity to steal towards real upliftment..

 

[Mystic Twilight]

Sounds like some fake/nonexistent students got paid well.

 

[BBSA]

NHI will be 10 times worse.

 

[konfab]

WAKANDA FOR EVER

 

[Milano]

Would not wish to come across as negative yet this is a tad disappointing.

 

[ponder]

How do you register for nsfas, need to get myself some free randelas...

 

[lumeer]

NHI will be 10 times worse.

Indeed, any time one has a large fund from which people can claim money, fraud is bound to happen. Speaking of the NHI, it is estimated that fraudulent claims in the private medical aid sector amount to between R 22 billion and R 28 billion rand per year:

https://www.dailymaverick.co.za/art...between-fraud-and-claims-of-racial-profiling/

So this will be a huge problem with something like the NHI, if it ever sees the light of day.

 

[lumeer]

What a great place to cut expenses, cancel NSFAS and start repaying Eskom debt to save the economy.

South Africa has to increase its output of graduates, especially in STEM fields, if it is to be competitive with other BRICS nations. NSFAS in principle is a good programme but clearly it has problems. The solution to its problems isn't to end it and redirect those funds to Eskom, and the solution to Eskom's problems isn't to throw more money at it. Anyway, from what I understand, NSFAS bursaries are supposed to eventually be re-paid by the bursary holder, so it's not exactly tax payer money.

 

[ponder]

South Africa has to increase its output of graduates, especially in STEM fields, if it is to be competitive with other BRICS nations. NSFAS in principle is a good programme but clearly it has problems. The solution to its problems isn't to end it and redirect those funds to Eskom, and the solution to Eskom's problems isn't to throw more money at it. Anyway, from what I understand, NSFAS bursaries are supposed to eventually be re-paid by the bursary holder, so it's not exactly tax payer money.

Only issue it's mostly used for BA type degrees.

Secondly the benificiaries are not paying the money back.

 

[SeRpEnT]

1 Billion Rand??! WTF. I bet most of that is just pure corrupt payments.

 

[MidnightWizard]

WHEN was the last time ANY of you visited a Tranceformed South African University ?

 

[Ponderer]

WHEN was the last time ANY of you visited a Tranceformed South African University ?

They have not yet completely "transformed" (f*cked up) South African Universities - they are still busy.
The Universities in the rest of Africa are much further "transformed".

 

[Milano]

They have not yet completely "transformed" (f*cked up) South African Universities - they are still busy.
The Universities in the rest of Africa are much further "transformed".

True, the level of 'transformation' still to be implemented across all sectors will make the current economy look good.

 

[thestaggy]

Incorrect payments

 

[ShaunSA]

"Incorrect payments"

 

[Matt91]

Whiskey and weaves for all! VIVA!

 

[IT_Steven]

Indeed, any time one has a large fund from which people can claim money, fraud is bound to happen. Speaking of the NHI, it is estimated that fraudulent claims in the private medical aid sector amount to between R 22 billion and R 28 billion rand per year:

https://www.dailymaverick.co.za/art...between-fraud-and-claims-of-racial-profiling/

So this will be a huge problem with something like the NHI, if it ever sees the light of day.

Good grief. If I am reading this correctly it says that 99% of this fraud is committed by black people?
And further taking into account that the cases are mainly identified through tip-offs and statistical algorithms, the accusations of racial profiling seems to be unfounded - but not unexpected.