Outa sounds alarm over Inseta fund that surged from R20m to R443m

CEO’s suspension welcomed Outa welcomed the proactive precautionary suspension of Mkhize on 3 June following the multi-million-rand breakdown of the ISSF, but said it had identified systematic vulnerabilities within the fund dating back to 2022, culminating in the unprecedented contract inflation during the 2025 financial year.“Key facts surrounding the payment failures include the fact that Inseta paid approximately R70 million to a middleman service provider, Mabophe Business Solutions, which failed to distribute the funds to the intended recipients, namely the students, their tertiary institutions or accommodation providers,” says Outa.8 million between 2024 and 2025 – nearly 22 times over the previous year’s allocation.