DIKENI- The Special Investigating Unit(SIU) has secured acknowledgments of debt totalling more than R3.3 Million from service providers implicated in the overcharging of the University of Fort Hare (UFH) for student accommodation.
The SIU said two companies signed acknowledgments of debt after its investigation found that they had charged the university more than the amounts stipulated in their lease agreements.
Younus Atcha, trading as Equicent Eastern Cape Developments (Pty) Ltd, was found to have overcharged UFH by R302,814.50, while the Tshongwane Trust was found to have overcharged the university by R2,928,163.84.
A third service provider, Lynton and Harmony, did not sign an acknowledgment of debt after refusing to accept the SIU’s letter of demand.
The company instead requested the SIU’s banking details and subsequently paid R103,829.96 directly into the unit’s bank account.
The SIU said Equicent Eastern Cape Developments and Lynton and Harmony have already settled their respective amounts in full.Tshongwane Trust has also made substantial repayments, having paid R1.62 Million to date.
According to the SIU, however, an outstanding balance of R1,665,290.41, including interest remains.The recovery follows an investigation into UFH’s leasing of student accommodation.
The SIU said its analysis of financial records and lease agreements uncovered instances where service providers were paid amounts above those provided for in the contracts.
The affected service providers were subsequently approached, the investigation’s findings were shared with them and letters of demand were issued.
The SIU said the recovery of the money demonstrated its continued efforts to protect public funds and ensure accountability at institutions receiving state resources.
The investigation has also resulted in nine disciplinary referrals involving current and former UFH officials allegedly linked to the leasing of student accommodation.
The SIU has been investigating certain affairs at the university since 2013 under Proclamation R84 of 2022, as amended by Proclamation R194 of 2024. Its broader investigation covers procurement and contracting processes for goods and services, as well as alleged maladministration within the university’s Faculty of Management and Commerce.
The investigation also examines allegations of serious misconduct within the Faculty of Law, including the improper registration and admission of students who were allegedly ineligible.
The SIU is empowered to institute civil proceedings in the High Court or a Special Tribunal to set aside unlawful conduct and recover financial losses suffered by the state.
In addition the latest recovery adds to the growing scrutiny of financial management and procurement practices at the University of Fort Hare, one of the Eastern Cape’s major public institutions.
Courtsey of IMAGE: Wikipedia
25 August 2026
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