Students Uneasy As Nedbank Moves to Liquidate Damelin, CityVarsity and Other Educor Institutions

Students Uneasy As Nedbank Moves to Liquidate Damelin, CityVarsity and Other Educor Institutions

  • Nedbank's bid to liquidate the Leo Chetty Group, owner of Damelin, CityVarsity, Icesa, and Lyceum College, has students uneasy
  • The liquidation move aims to recoup nearly R50 million in unpaid loans from the Leo Chetty Group
  • The disruption has impacted thousands of students and staff after the government deregistered these entities in March

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Trisha Pillay is a Briefly News current affairs journalist in Johannesburg. For 13 years, she has devoted her professional life to covering social issues and community news, sharing her expertise with newsrooms like The Citizen newspaper, African News Network, and Newzroom Afrika. Do you have a hard news story you would like to share? Email with CA in the subject line.

Nedbank aims to liquidate Educor institutions
Thousands of students are uneasy as Nedbank moves in on Damelin, CityVarsity and other Educor institutions. Images: Damelin/Getty Images
Source: UGC

JOHANNESBURG - Banking group Nedbank has initiated a bid to liquidate the Leo Chetty Group, which owns Damelin, CityVarsity, Icesa, and Lyceum College.

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Nedbank closes in

According to the Sowetan, Nedbank aims to recoup nearly R50 million in unpaid loans dating back to 2016 and has launched proceedings to liquidate 10 companies in the Leo Chetty Group.

This move comes as the latest blow to the group, following the deregistration of these entities by the government in March.

The Department of Higher Education, Science and Innovation, led by Minister Blade Nzimande, issued a notice in 2022 announcing the deregistration of Educor colleges for allegedly failing to submit audited annual statements for 2020—an allegation Educor denied. Nzimande said that Educor will be given a phase-out period in which to phase out pipeline students.

According to IOL, students complained about the poor quality of teaching and learning and a lack of administrative support.

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Students registration

The statutory body SAQA said graduates from the doomed institutions need not worry. When students register by any institution that is recognised for certain programs, their information will be automatically captured in what is called the national learners' database, which is managed by the South African Qualifications Authority. Any student who was registered or had achieved qualifications before the current challenges are in the database and will be recognised.

Mzansi stunned

While many students are uneasy about the future of these learning institutions, many South Africans are amazed that this is even happening.

Here are some of the reactions:

@Neptune Paulos Ralefatshe commented:

"This is so hard to believe, how does this even happen."

@Gqigqi L'v Vuyo asked:

"Can we see the full list before we apply to a closed college?"

@Eugene Howe commented:

"This paints a gloomy picture of what lies ahead in as far as SA job market."

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@Sparrow Tk said:

"Damelin will never find peace... We lost so much effort and money."

@Inno Raps shared:

"I don't feel sorry for Damelin , they gave me half study material . Other subjects I had to borrow books to study so I can write my exam . This school."

Former Damelin student feels scammed

In a related story, Briefly News reported about former Damelin Correspondence College student Amy Le Roux, who detailed how she struggled to further her education at the institution.

Le Roux says she paid her tuition in full, but Damelin did not keep their end of the bargain.

After months of begging the institution to give her the correct course material, Amy decided to deregister and ask for a tuition refund.

Source: Briefly News

Trisha Pillay avatar

Trisha Pillay (Weekend current affairs editor) Trisha Pillay is a Current Affairs writer at Briefly News. She has a degree in Journalism from the University of Johannesburg and an Honours degree in International Politics from UNISA. She joined ENCA straight out of varsity and completed an internship at the channel. Pillay later went on to cover politics, crime, entertainment, and current affairs at the Citizen Newspaper. She joined Newzroom Afrika in 2019 and became a senior bulletin editor for shows focused on politics and current affairs on the channel. She joined Briefly News in 2023. You can contact her at

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