Minister directs HESLB to take action against corrupt officials

Dar es Salaam. Education Minister Joyce Ndalichako on Tuesday handed over the report on operations of the Higher Education Student’s Loans Board (HESLB) to the new board of directors directing them to take measures against those implicated.

Speaking during the ceremony to inaugurate the new board, Prof Ndalichako said that she is not satisfied with measures taken by the previous board on those who were implicated.

The minister directed the board to verify whether recommendations made in a Controller and Auditor General (CAG) report were implemented.

The minister sacked HESLB executive director George Nyatega and suspended three others last year to pave way for investigations over corruption allegations.

She said the reports have all the details on how the officials allegedly swindled funds by disbursing funds to ghost students.

It was revealed, for instance, that some Tanzanian students pursuing studies in Algeria continued to receive loans three years after their loan contract had expired. 

A special audit carried out by government chief internal auditor in 2013 also exposed massive weaknesses in management of funds set for students loans.

The minister also directed the new board to manage the repayments of the loans.

She said, since the establishment of the HESLB, up to-date the government has disbursed a total of Sh3.1 trillion but, only Sh217 billion has been recovered. 

"We need the institution to stop depending on government funds, so I want you to make sure this happens,” she added.