SIU aims to recoup R8.3m from Free State bursary scheme fraud

The Special Investigating Unit (SIU) is seeking to recover R8.3m linked tosystemic corruptionin the Free State government bursary scheme. The SIU disclosed that among the funds irregularly disbursed was R34,000 awarded to a deceased student through the office of the premier and further funds from the National Student Financial Aid Scheme (Nsfas). At least 18 acknowledgements of debt totalling R1.9m with individuals who received undue benefits from the bursary scheme have been signed, the unit said.

Acting SIUhead Leonard Lekgetho said serious irregularities were uncovered. “The investigation revealed that officials approved bursaries negligently, failed to comply with the eligibility criteria, and irregularly extended bursary contracts,” he said. The scheme, which is still operational, provides financial assistance to underprivileged students in the province.

Lekgetho said one of the most concerning findings involved a deceased student who received funding from both the office of the premier and NSFAS. “The scheme paid R34,000 to the University of the Free State, which deposited the money into a suspense account after the student’s death. NSFAS also paid R13,000 into the student’s bank account, which his parents used.

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“Since the student had died before completing his studies, the funds could not be recovered, especially since the proclamation did not cover NSFAS. The parents also lack the means to repay the money,” he said.

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