NSFAS said its legal team advised that disbursement of student allowances may be made through the institutions for university students, and directly into the bank accounts of TVET college students.
“For the month of August, university students will receive their allowances through their institutions and TVET college student will receive their allowances directly into their bank accounts. NSFAS endeavours to keep all stakeholders abreast with developments related to the ongoing court processes,” NSFAS said.
The Werkmans report, which sparked the termination of such contracts, found issues in the deals such as a conflict of interest involving NSFAS former CEO Andile Nongogo, irregularities in the bid process of direct payment service providers, and the lack of a feasibility study before implementing the payment system.
It recommended that the contracts be terminated and that Nongogo be dismissed as it was found that he actively participated in the presentation of proposals by service providers to the bid evaluation committee, violating NSFAS’s public procurement process.
TimesLIVE
NSFAS applies for leave to appeal high court order on irregular Ezaga deal
Student aid scheme was in the process of terminating contracts
Reporter
Image: Fredddy Mavunda/Business Day
The National Student Financial Aid Scheme (NSFAS) on Thursday filed an application for leave to appeal a Western Cape High Court ruling regarding the validity of a controversial contract.
NSFAS was in the process of terminating contracts with direct payment service providers such as Ezaga after a Werkmans report last year which recommended such a termination due to procurement irregularities.
However, the high court ruled this month that the contract be restored. The court interdicted NSFAS from taking further steps to cancel the deal and from implementing a payment method to pay allowances directly into students’ bank accounts.
“NSFAS confirms that an appeal against the judgment has been filed with the registrar of the Western Cape High Court as of July 25 2024,” the scheme said in a statement.
NSFAS asks landlords not to evict students as it scrambles to pay outstanding allowances
NSFAS said its legal team advised that disbursement of student allowances may be made through the institutions for university students, and directly into the bank accounts of TVET college students.
“For the month of August, university students will receive their allowances through their institutions and TVET college student will receive their allowances directly into their bank accounts. NSFAS endeavours to keep all stakeholders abreast with developments related to the ongoing court processes,” NSFAS said.
The Werkmans report, which sparked the termination of such contracts, found issues in the deals such as a conflict of interest involving NSFAS former CEO Andile Nongogo, irregularities in the bid process of direct payment service providers, and the lack of a feasibility study before implementing the payment system.
It recommended that the contracts be terminated and that Nongogo be dismissed as it was found that he actively participated in the presentation of proposals by service providers to the bid evaluation committee, violating NSFAS’s public procurement process.
TimesLIVE
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