The Construction Education and Training Authority is under administration due to financial mismanagement, with irregular expenditure reaching R871.4 million. Students reliant on stipends are experiencing delays.
The Construction Education and Training Authority has been placed under administration after years of qualified audits and R871.4 million in irregular expenditure. Administrator Oupa Nkoane told parliament that financial mismanagement was the main cause. He said all irregular items, including a recent R63,000, must go through a formal determination process.
During a 13 May meeting of the Portfolio Committee on Higher Education, Nkoane reported that eleven people had faced disciplinary action. He also highlighted problems with contracts involving Vodacom and MTN, as well as overcommitments on discretionary grants exceeding R2.7 billion. A mismatch in accredited service provider records was noted, with external listings showing 1,120 providers against 480 in internal databases.
Students have been affected by late stipend payments. A second-year learner at the MCD training centre in Vereeniging said payments arrive a month behind schedule, creating hardship with rent and travel costs. Nkoane’s R3 million annual package has also drawn criticism for lacking prior approval from the Department of Higher Education and Training.