FOR IMMEDIATE RELEASE
SUNDAY, 19 APRIL 2026
The National Skills Fund (NSF) confirms that 430 learners participating in the Work Integrated Learning (WIL) project implemented by Forek Institute of Technology (Pty) Ltd have experienced delays in the payment of their stipends. The project, which commenced in March 2024 and is scheduled to conclude on 26 December 2026, supports 500 learners with a total value of R82,120,625.00.
The NSF acknowledges the seriousness of this matter and the unacceptable impact on affected learners.
It is important to clarify that the NSF does not directly disburse stipends to learners. This responsibility rests with the appointed Skills Development Provider (SDP), Forek Institute of Technology, which is contractually obligated to ensure timely and full payment in accordance with the Memorandum of Agreement (MoA). The NSF’s role is to provide funding oversight, enforce compliance, and safeguard the proper use of public funds.
During the October to December 2025 reporting cycle, the NSF identified material non-compliance by the SDP, including unapproved and unsupported expenditure reflected in its financial reports. These expenditures could not be verified as project-related, necessitating the imposition of strict controls before any further disbursements could be considered.
To date, the SDP has failed to refund irregular expenditure amounting to R4,430,789.33, despite multiple undertakings. In addition, outstanding stipends for the period January to March 2026 amount to R7,939,308.63. The NSF has indicated that, upon full reimbursement of the irregular expenditure, it will immediately unlock a further R2,460,500 from the stipend budget to enable settlement of outstanding payments.
Following complaints received from learners in late March 2026, the NSF escalated the matter. A formal breach notice was issued to the SDP on 14 April 2026, placing it on terms to remedy the non-compliance, refund the irregular expenditure, or submit a credible and time-bound repayment plan.
The SDP has since submitted a response, which is currently under review.
The NSF must emphasise that the breakdown in this instance is attributable to the failure of the implementing provider to comply with its contractual and financial obligations. This has triggered formal consequence management processes.
Should the SDP fail to meet its obligations within the stipulated period, the NSF will proceed with further action, which may include:
- Recovery of funds through legal processes
- Blacklisting of the provider from future NSF-funded programmes
- Referral for criminal investigation where misappropriation of public funds is suspected
The NSF also engaged directly with affected learners on 14 April 2026. During this engagement, it became evident that the SDP had incorrectly attributed the delays to the NSF. The Fund clarified that stipend payments are the responsibility of the implementing provider, and that oversight measures were activated precisely due to non-compliance.“
“Public funds allocated for skills development must be used strictly for their intended purpose. Any diversion or misuse constitutes a serious breach of contract and may amount to a criminal offence”, said Acting CEO, Ms Melissa Erra.
“The NSF remains firmly committed to protecting learners, enforcing accountability, and ensuring that all outstanding stipends are paid without further delay. A further update, including confirmed timelines for payment, will be communicated following the outcome of the engagement with the SDP”, she added.
Ends!
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ISSUED BY NATIONAL SKILLS FUND: PUBLIC RELATIONS AND COMMUNICATION UNIT