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Free State Vows Accountability After SIU Exposes Bursary Scheme Corruption

Free State Vows Accountability After SIU Exposes Bursary Scheme Corruption
Fraud: Free State Vows Accountability After SIU Exposes Bursary Scheme Corruption. Image for illustration purposes only, generated with AI.

The Free State provincial government has pledged comprehensive accountability and governance reforms following the Special Investigating Unit’s (SIU) damning findings into irregularities within the provincial bursary scheme. Director-General Molefinyana Phera confirmed the province accepts the SIU’s conclusions and is already implementing measures to prevent future misuse of public funds.

According to the investigation, approximately 8 million rand was improperly awarded through the bursary scheme during the 2017-2018 period. The SIU’s audit report, finalized in 2019, identified systemic failures in how bursaries were allocated.

“We agree with the findings of the SIU. We welcome them, and we are actually happy that this report has come forward because it has been long coming,” stated Director-General Phera. “While it was on the way, we were busy fixing our governance systems to ensure that there is no more corruption and maladministration of the bursary system.”

The investigation spanned a period when two premiers led the province. The SIU report does not directly implicate any political office bearers but identifies eight officials from the Premier’s office who misused their authority in processing bursary applications. These individuals are now subject to disciplinary proceedings. Additionally, certain private beneficiaries—students who received funds improperly—have been referred for criminal investigation.

One deputy director, who awarded himself and his children bursaries and diverted recovered funds into his personal account, has already been dismissed. The remaining seven implicated officials remain employed within the bursary office while disciplinary processes advance.

Addressing the awarding of bursaries to foreign nationals, Director-General Phera noted a nuanced situation. Some foreign students who received funding were among the province’s top 100 matriculants and were studying locally, which he suggested could represent an administrative error. However, other instances appeared deliberate. “About seven of those students who received bursaries and were foreigners actually came from the list of top 100 matric students in the province,” he explained. “But it doesn’t detract from the fact that foreign nationals shouldn’t have received bursaries because our policy prevented that.”

Significant reforms have already been implemented to safeguard the scheme. Previously, bursaries were allocated through nominations by political office bearers and heads of department without public advertisement or competitive selection. This process has been overhauled: bursaries are now publicly advertised, and selection follows a transparent, competitive framework. Furthermore, the international component of the scheme has been discontinued after students enrolled at unaccredited overseas institutions returned without recognized qualifications.

“Selection has become more competitive, more inclusive, and there is no single official or even political office bearer able to nominate their own preferred beneficiary,” Director-General Phera affirmed.

On the question of criminal accountability, the Director-General confirmed that the SIU has already referred multiple cases for criminal investigation. The provincial government is cooperating with police services to support evidence gathering and prosecution. “Where we find that in addition to disciplinary issues there were criminal elements, we will not hesitate to open criminal cases,” he stated. Approximately seven criminal referrals have been made thus far, encompassing both officials and ineligible beneficiaries.

Premier MaQueen Letsoha-Mathae’s office has reiterated its commitment to ensuring those implicated face appropriate consequences. The province maintains that the governance improvements already enacted, reinforced by the SIU’s findings, will help restore integrity to the bursary system and ensure public funds reach deserving students.