Minister Blade Nzimande and NSFAS Board Chairperson Accused of Tender Corruption

In a striking development that could rattle the higher education sector in South Africa, two prominent political parties, the Democratic Alliance (DA) and ActionSA, have taken decisive action against Minister of Higher Education, Science and Innovation, Blade Nzimande, and the National Student Financial Aid Scheme (NSFAS) Board Chairperson, Ernest Khosa.

Following a detailed investigative report by the Organisation Undoing Tax Abuse (Outa), the allegations have catapulted into the national spotlight, suggesting a scandal involving tender corruption within NSFAS. Outa’s report, founded on leaked voice recordings from meetings where kickbacks were discussed, claims that significant sums of money may have been exchanged for tender awards and protection within the organization. These undisclosed payments reportedly include millions of rand to both Nzimande and Khosa, and at least R1 million ostensibly directed to the South African Communist Party (SACP).

In response, Werksmans Attorneys conducted an analysis, the results of which, released in October, corroborated concerns regarding the irregular appointment of four service providers. These handpicked companies, among them Coinvest and eZaga Holdings, were tasked with the disbursement of student allowances. The report has raised eyebrows over potential conflicts of interest, particularly highlighting the activities involving NSFAS’s CEO, Andile Nongogo.

The political reverberations of this investigative finding have been swift. The DA's Siviwe Gwarube and spokesperson Karabo Khakhau filed a criminal complaint citing corruption at Cape Town's Central police station. Meanwhile, ActionSA's Hluphi Gafane echoed this move in Centurion, Gauteng. They've called for resignations and pressed charges under the Prevention and Combating of Corrupt Activities Act, aiming to hold the implicated parties to account for potentially leveraging student funds for personal gain.

The police, confirming the registration of the case, are now poised to investigate these serious allegations. The DA's Khakhau criticized Minister Nzimande for failing to convincingly refute the charges or to assure students depending on NSFAS of the integrity of the system.

Nzimande vehemently denied the allegations, dismissing the Outa report as part of a "nefarious fightback campaign." Similarly, the SACP refutes claims of receiving ill-gotten funds. Despite this, the case has gathered attention with the Freedom Front Plus seeking an urgent parliamentary committee meeting to discuss the implications for Nzimande's oversight role and the operations of NSFAS.

As the story continues to unfold, the repercussions are likely to be considerable, prompting a reassessment of transparency and governance within the higher educational funding arm. Stakeholders demand action, and with the law enforcement agencies engaged, the next steps could be crucial in determining the veracity of these allegations and the future of those accused.