NSFAS Administrator Addresses Allegations of High Costs and Unapproved Expenses
Professor Hlengani Mathebula, the administrator of the National Student Financial Aid Scheme (NSFAS), has firmly denied allegations that he has been paying R10 million annually for four technical advisers. He also refuted claims that he has used public funds without the approval of Finance Minister Enoch Godongwana.
“I personally haven’t been remunerated, right? And, for me, that on its own isn’t a big deal because it’s only been two months, and you do need to allow the minister to complete the necessary consultations he has to do,” Mathebula said in an interview with a public broadcaster.
He explained that the four advisers are independent contractors as outlined in the NSFAS Act. “Those are appointed by me as the administrator with the full authority on the basis that I’ve been appointed by a Government Gazette,” he added.
Mathebula confirmed that the appointments were made with the concurrence of Higher Education and Training Minister Buti Manamela. “And that concurrence has been given. That’s the reason why they are at work.”
Rebuttal of Past Criticism at SARS
Mathebula also addressed criticism over approvals he signed during his time at the South African Revenue Service (SARS). He stated that the criticism was misplaced because there was a policy in place at SARS that allowed such approvals. “If I was acting based on a policy that SARS had, there is nothing wrong,” he said.
He emphasized that SARS has a responsibility to review its policies to ensure compliance with all prescripts. “Simply because I’m the one that signed it has nothing to do with any wrongdoing,” he added.
EFF Calls for Investigation into Expenditure
The Economic Freedom Fighters (EFF) MP Sihle Lonzi has called for an investigation into the remuneration of Mathebula and his advisers. “We have formally requested Parliament's Portfolio Committee on Higher Education to investigate the remuneration of the NSFAS administrator, Hlengani Mathebula, and his four advisers,” Lonzi said.
He criticized the expenditure, stating, “The Minister of Finance must intervene and put an end to this madness. We cannot surrender R60 billion meant for students to tsotsis in suits.”
Lonzi further claimed that Buti Manamela’s NSFAS administration is becoming a very expensive crime scene.
Legal Requirements and Requests for Documentation
In a letter dated July 7, Lonzi asked the Portfolio Committee chairperson Tebogo Letsie to seek confirmation from Godongwana on whether the approvals required under Section 17C of the NSFAS Act had been granted before remuneration and allowances were paid to Mathebula and his advisers.
According to Lonzi, the request aims to determine whether public funds were spent in accordance with the law and whether the expenditure represented value for money. “We write to request that the Portfolio Committee on Higher Education, in the exercise of its constitutional oversight responsibilities, write to the Minister of Finance seeking confirmation as to whether the approval contemplated in Section 17C of the NSFAS Act was granted in respect of the remuneration and allowances payable to the current NSFAS administrator and his four advisers,” he said.
Details Requested by the EFF
The EFF has requested documentation confirming whether the required approvals were granted, the date on which they were issued, and copies of the written approvals and supporting documents. It also wants a detailed breakdown of all remuneration, allowances, and benefits paid to Mathebula and his four advisers since their appointments, including salaries, air travel, accommodation, vehicle hire, subsistence allowances, and any other expenses incurred on their behalf.
Additionally, the party has requested an explanation on whether more cost-effective travel and accommodation options had been considered. If no approval was granted, the party wants National Treasury to clarify whether it considers the payments compliant with the NSFAS Act and the Public Finance Management Act.
Response from NSFAS Spokesperson
Responding to the allegations, NSFAS spokesperson Ishmael Mnisi previously said Mathebula’s administration had been structured to reduce costs, with only four advisers appointed and their accommodation funded through their salaries. He noted that the administrator’s accommodation expenses were within the range of those incurred by his predecessors.
“This statement is not intended to shield Professor Mathebula from accountability. As the leader of an institution as important as NSFAS, he must be subjected to public scrutiny and held accountable for his decisions and actions.” However, Mnisi stressed that scrutiny must be grounded in facts, fairness, and objectivity.
NSFAS stated that Mathebula’s appointment was lawful and that he continued to engage universities and TVET colleges as part of efforts to restore stability and improve the operations of the student funding scheme.
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