Johannesburg – The National Student Financial Aid Scheme (NSFAS) Board Chair Ernest Khosa, who is accused of taking kickbacks from service providers, on Wednesday opted to “step aside” to allow probes into the allegations to take place unhindered.
NSFAS said during a board meeting on Wednesday Khosa, “voluntarily requested the board to consider his notice to be placed on leave of absence to enable the board to deal with all allegations against him as contained in the recordings distributed by the Organisation Undoing Tax Abuse (OUTA)”.
NSFAS said Khosa took the board into his confidence regarding the impact of these allegations on the student financial aid scheme.
“The NSFAS chairperson assured the board that he has not received any financial gratification meant for his personal use, that of the minister of higher education science and innovation and the South African Communist Party.”
NSFAS said it “welcomed the notice and the grounds expressed by the board chairperson to take a leave of absence”.
NSFAS said during the meeting, the Board chairperson also raised concerns about threats that have been made against his life and that of his family.
NAFAS said the board has since notified Minister Nzimande about the development.
In terms of the NSFAS Act, the Minister has the fiduciary responsibility to appoint the acting board chairperson in the absence of the chairperson.
“The Board takes this opportunity to thank Mr. Khosa for his honourable, brave, and responsible decision to voluntarily take leave of absence, and hails his decision as a responsible and conscious step to advance good corporate governance, transparency and accountability,” NSFAS said.
“The Board would like to emphasise that this decision should not be interpreted as an admission of guilt on the part of the chairperson.
“Expressly, the Board resolved to appoint an independent legal firm to look into the veracity of the allegations against the board chairperson.”
NSAFS said the legal firm, soon to be announced by the Board, will be expected to submit its findings within 30 days of their appointment.
“The Board would also like to assure all South Africans that this process will be handled with due diligence and integrity,” NSFAS said.
The Board said it would like to assure all South Africans that it will continue to work with all stakeholders within the post-school education and training sector to ensure that there is a seamless and successful beginning of the 2024 academic year.
“Part of the Board’s pre-occupation will be the appointment of the new Chief Executive Officer,” NSFAS said.
“The Board would also like to report to the public that the 2024 application process is proceeding extremely well, with applications having reached the nine hundred thousand (900 000) mark.
“The NSFAS Board would like to encourage all prospective students to apply for the bursary while they are awaiting their final matriculation results.
“Furthermore, the Board extends its gratitude to Mr Khosa’s family for having supported him throughout this difficult period.”
Reacting to the NSFAS Board chairperson’s decision to request leave of absence, OUTA said it, “welcomes Khosa’s decision and looks forward to a truly independent investigation by a law firm”.
