‘We were not involved’, says fintech company implicated in Nsfas corruption allegations

One of the fintech companies implicated in the Organisation Undoing Tax Abuse (Outa) report, which claims service providers to the National Student Financial Aid Scheme (Nsfas) allegedly paid millions of rand in kickbacks to the minister of Higher Education, Blade Nzimande, Nsfas Chair, Ernest Khosa, as well as at least R1 million to the SA Communist Party (SACP), has dismissed the allegations saying it was not involved in any corrupt activities in any way.

Ismail Ally, the Chief Operating Officer of eZaga Holdings – one of the companies fingered in the report – said his company firmly rejects any allegations of its involvement in discussions, reports or recordings related to this matter.

All services providers

Ally said eZaga did not participate in any of the alleged discussions with any stakeholders, including Outa.

“We reassert that we were not involved in any discussions, reports or recordings mentioned in the Outa report. We strongly dispute any implication by association of our involvement in the reported discussions,” he said.

He added that eZaga has procured legal representation to address the allegations surrounding the contract cancellations.

“The company is prepared to initiate further legal actions to defend its rights and reputation against any baseless allegations,” Ally said.

Irregularities

Outa recently released a report that claimed there were irregularities with the tender processes through which Coinvest Africa (Pty) Ltd, Tenet Technology (Pty) Ltd, eZaga Holdings (Pty) Ltd and Norraco Corporation (Pty) Ltd were appointed as service providers in October 2022.

Nzimande has refuted the accusations, dismissing them as “false” and asserting that he has conducted his affairs above board and maintains “a clear conscience”.

“I wish to once again assure the South African public that as Minister of Higher Education, Science and Innovation,  I have never used any money from any of my department’s entities for the purpose of funding the South African Communist Party as was maliciously and falsely suggested in the Outa report.

“Nor have I received any kickbacks from any of the service providers to Nsfas or any of the other entities falling under my department,” he said.

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Meanwhile, Khosa has opted to take a one-month leave of absence to allow the board to address the allegations made against him, as reported by Nsfas.