LOBAMBA – A brief inquiry by the Public Accounts Committee (PAC) has raised concerns over the Ministry of Labour and Social Security’s non-disclosure of over E7.4 million in scholarship funds. These funds, intended as tertiary student allowances, were held in a Scholarship Distribution account at First National Bank (FNB).
The PAC questioned the Ministry’s Principal Secretary (PS), Makhosini Mndawe, on Thursday regarding the issue flagged by Auditor General Timothy Matsebula in his report.
According to the Auditor General’s findings, in 2023, an amount totalling E7,401,441.24 was held in the FNB account but was not disclosed in the Detailed Statement of Assets as of March that year.
“The balance consists of funds which were transferred by the Treasury Department through the Central Bank for student allowance distribution to account number 62341020296 at FNB,” the report states.
Matsebula recommended that PS Mndawe, as the controlling officer, disclose the bank balance to the government’s consolidated accounts within a month of the report’s adoption by Parliament.
In response, PS Mndawe said the non-disclosure was a mere oversight and that the issue has since been addressed.
He explained that the ministry typically arranges to transfer the funds around April each year, rather than mid-year, in order to support students whose academic year is still in progress. He added that government funds are usually unavailable at other times.
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