Manamela defends decision to place NSFAS under administration

Minister of Higher Education and Training Buti Manamela has defended his recent decision to place the National Student Financial Aid Scheme (NSFAS) under administration.

He appeared before the Portfolio Committee on Higher Education and Training to account about the rationale behind the decision.

Manamela highlighted various governance and financial challenges within the financial scheme.

“What is essential is that no one route is sufficient, you know of the routes that are available to the committee. Route A; which was the audit committee report, an audit or financial records with regard to that part which we believe it was fully met with regards to the AGSA disclaimer. And then the second route which is any other circumstance which we believe the board felt the successive resignation has led to collapse.”

Manamela says the dissolution of the board of NSFAS was beyond reproach according to the relevant pieces of legislation.

“I would not have preferred the board itself to be nullified, as it remained capable of producing legal consequences until properly set aside by a court of law. So, my reliance was on the court process itself. And of course, when I met with the board in November to discuss this matter, the understanding I took from that meeting was that the facts surrounding the appointment process were common cause, and that we should endeavour to conclude the self-review process.”