ActionSA welcomes NSFAS CEO axing, demands Nzimande next
Blade Nzimande has publicly defended the appointment of the NSFAS service providers, ActionSA calls for his dismissal
ActionSA has welcomed the dismissal of Andile Nongogo as the CEO of the National Students Financial Aid Scheme(NSFAS).
This comes after an investigation by law firm Werkmans Attorneys and Advocate Thembeka Ngcukaitobi SC, which foumd that Nongogo flouted tender procedures by directly being involved in the selection of the four direct payment companies.
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OUTA INVESTIGATION FINDINGS
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The disgraced former CEO, had according to ActionSA found himself in a similar sticky situation whilst he was at the helm of the SSETA (Services Sector Education and Training Authority).
An investigation by the Organisation Undoing Tax Abuse (OUTA) had raised the alarm bells, linking Nongogo with the directors of Coinvest.
ActionSA Western Cape Students Forum Chairperson Matthew George says while they are happy with the CEO’s axing and the cancellation of contracts with the service providers, they still want Minister Blade Nzimande to be held accountable.
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“ActionSA, although pleased with the actions taken thus far, will persist in our demand for accountability, beginning with the NSFAS Board and Minister Blade Nzimande, who, for months, staunchly defended this fraud and the former CEO, despite clear evidence of wrongdoing”, says George.
NSFAS PROVIDERS DID NOT POSSESS BANKING LICENSES
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The 2022 investigation by OUTA revealed the gross incompetence at the appointment providers Tenet Technology, Coinvest, eZaga and Norraco, who were not registered as financial services providers as required by the Financial Sector Conduct Authority.
Ezaga Holdings – held an affiliated banking licence with Access Bank. A banking licence or affiliation with a bank with a banking licence was a compulsory bid requirement. Two of the successful bidders, Norraco Corporation and Tenet Technology, were also not registered as VAT vendors when they submitted their tenders.