The South African Union of Students (SAUS) has called for urgent reform of the National Student Financial Aid Scheme (NSFAS) following shocking findings by the Auditor General.
It came to light after it was revealed that 822 dead people continued to receive NSFAS funding. The report also found that thousands of people who were not eligible were paid.
SAUS said it “expresses deep outrage and deep concern” at the situation. It described it as a “serious institutional failure that undermines NSFAS's core mandate and erodes public trust”.
The student body said the issue is particularly acute because many students are still struggling to get funding. “At a time when thousands of deserving students are being excluded, denied funding, or left in prolonged uncertainty over their funding status, such mismanagement is unacceptable and deeply unjust,” SAUS said.
It states that the purpose of NSFAS is to help poor and working class students. When money is misused, it directly compromises that mission and increases inequality.
SAUS said Higher Education Minister Buti Manamela has acknowledged there are problems with the system used to verify student information. It added that “immediate, decisive and transparent corrective measures” must now be taken.
The student body also praised the work of acting NSFAS CEO Waseem Carim and said his efforts to improve the system and fix problems should continue.
However, SAUS said more action was needed.
“We want to say clearly that this is not a moment for instability or a reactionary response,” it said. It called on NSFAS officials to fix the problems, take responsibility and rebuild trust.
SAUS wants stronger checks to ensure only the right students get funding. This includes working closely with government departments such as Home Affairs and the South African Revenue Service (SARS). It also demanded a full investigation, including a special investigation unit, to find out where the money went.
It said accountability must be enforced. “Those found to have acted unlawfully, negligently or in bad faith will face clear and decisive consequences, including expulsion from the institution and possible legal action,” SAUS said.
The student organization also wants that the wrongly paid funds should be recovered and honest students should not be penalized for these mistakes.
It stressed the need for long-term reforms to improve governance and systems, as well as clear and consistent communication from NSFAS to students and the public.
SAUS said the situation highlights a deeper problem. “This scandal highlights a painful contradiction within the current system: while funds are being lost due to weak controls and poor coordination, genuine students are facing exclusion and financial hardship.”
It warned that NSFAS plays a vital role in helping young people build better futures and that its failures affect many lives.
The organization said it would continue to monitor the situation and may take further action if necessary.
“Now is the time for accountability, stability and decisive leadership,” it said.
Times Live