The Citizen (KZN)

Labour Court throws out Nongogo’s bid

- Vhahangwel­e Nemakonde

The Labour Court has dismissed the applicatio­n by former National Student Financial Aid Scheme (Nsfas) CEO Andile Nongogo, pictured, to have his sacking declared unlawful and void.

In October, the Nsfas board terminated Nongogo’s contract after investigat­ing allegation­s related to the appointmen­t of direct payment service providers.

This decision came after Nongogo was placed on special leave in August amid controvers­ies surroundin­g the scheme’s direct payment contract.

The Organisati­on Undoing Tax Abuse (Outa) had published a report highlighti­ng the “questionab­le” awarding of the Nsfas direct payment contract.

The report implicated Nongogo in a potential conflict of interest regarding the service providers’ appointmen­ts.

After numerous calls for his suspension until investigat­ions into the allegation­s were completed, Nsfas placed Nongogo on special leave as it launched its own investigat­ion.

A report by Werksmans Attorneys and advocate Tembeka Ngcukaitob­i flagged a potential conflict of interest in the appointmen­t of fintech service providers.

Another concern raised in the report was the failure to conduct thorough due diligence on the service providers.

In light of these findings, Nsfas board chair Ernest Khosa announced that the board had written a letter to Nongogo, granting him an opportunit­y to explain why his contract shouldn’t be terminated.

Nongogo’s challenge to his contract’s terminatio­n hit a snag on Monday when the Labour Court ruled in favour of the Nsfas board.

Judge MB Mahalelo also dismissed with costs Nongogo’s applicatio­n to strike out certain paragraphs contained in the Werksmans Attorney’s report.

Nsfas said: “The Nsfas board views the Werksmans Attorneys report as a necessary and important measure to propel Nsfas to a much more elevated level of consciousn­ess to fight corruption and the capture of Nsfas by some unscrupulo­us people.”

Nsfas said it would continue with its legal processes to terminate contracts of direct payment service providers.

 ?? ??

Newspapers in English

Newspapers from South Africa