E20M FOR SCHOLARSHIPS DEPOSITED INTO WRONG ACCOUNT

SITEKI – “I was afraid that I might lose my job after discovering that E20 million has disappeared in the ministry’s account from the money deposited by the Treasury Department for the payment of scholarships for students.”

That was said by John Hlophe, the Principal Secretary (PS) in the Ministry of Labour and Social Security when responding to questions about money said to have ‘disappeared’ from the ministry’s account on Tuesday. The PS said there was a computer error when the funds were deposited from the Treasury Department. Instead of reflecting in the ministry’s account, the funds were erroneously deposited into another account at the ministry. The discovery of the missing E20 million, according to Hlophe, happened on Tuesday. He explained that after discovering that the funds were not reflecting in the ministry’s account yet the deposit had been made, he then promptly called the Treasury Department. The funds were meant to pay for scholarships for students in tertiary institutions outside the country. “I was told that the computer cut the amount to another account that did not exist at Treasury. The computer erroneously deposited the money into that account but the error was later noted,” he said.

He said the ministry started investigations. Hlophe added that students who were awarded scholarships to pursue their academic careers outside the country were not paid using cheques but their tuition fees were deposited directly into their respective accounts. He said he had thought his job was on the line after the discovery of the missing money. The PS said government has paid E18 million for the over 500 students studying abroad.

However, Minister of Labour and Social Security Phila Buthelezi, said he was not aware of the matter. “I am not aware and only know that government paid about E13.5 million to universities in South Africa who met the scholarship requirements and beat the deadline of submission. I am not aware of this matter,” he said. Initially, government had budgeted about E350 million for all students studying in local tertiary institutions. Accountant General Samuel Mbingo said he was alerted about the matter by the ministry, but referred them to the custodian ministry in charge of this issue, Ministry of Finance. “They called me but I directed them to the Ministry of Finace,” Mbingo said. Ministry of Finance PS Sizakele Dlamini, said she was held up in a meeting when efforts were made to get a comment from her. “I cannot answer calls as I am in a meeting,” she briefly said.

Minister of Finance Neal Rijkenberg said the matter had not been reported to him but it seemed that the error was corrected. “This matter has not been reported to me, but it seems from what you are saying that an error was made but has  been corrected,” the minister briefly said in a Whatsapp message after also indicating that he was in a meeting. Initially, a senior government official confided that she was told at the Scholarship Board that there was E20 million that was missing when she had gone to enquire about the payment of fees for her child at a tertiary institution in South Africa. “I was told that my child’s fees might not be paid this year after the disappearance of E20 million at the ministry’s account. I was not alone as I also found others who had gone to make enquiries,” said the senior government official.

Post your comment

Your name:

Your e-mail address:

Add your comments:

Please enter the code you see in the image:

Image:

Code: