R9m NSFAS error leaves students out in the cold

PRETORIA - A housing crisis is unfolding in Pretoria, where students at Foundation Residence claim they were locked out of their accommodation and left to sleep on the streets.

The reason?

A payment dispute involving over R9-million meant for accommodation providers, allegedly paid directly to students' accounts.

Students accuse building managers of extorting them, demanding they hand over R1,700 from their NSFAS living allowances for the foreseeable future.

WATCH: NSFAS | Students left in financial limbo

In April, NSFAS mistakenly deposited over R9-million in accommodation allowances directly into more than 900 student accounts.

Students say residential managers encouraged them to spend the money.

Landlords now accuse students of acting irresponsibly and insist they're only asking for what's owed.

eNCA reached out to NSFAS, who did not respond at the time this story was broadcast.

  • eNCA's Naomi  Kobbie reports.

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