Senate query exposes 'missing' Sh46m Murang'a bursary cash

A Senate watchdog committee has ordered Auditor General Nancy Gathungu to conduct a forensic audit on Murang'a government bursary funds.

The Senate County Public Investment and Special Funds Committee directed Gathungu to report back her findings within 60 days.

“I direct that this matter be taken to OAG for forensic audit. If the (OAG) report is negative, the committee will move to ensure the entire team in the office at the time is held liable," chairman Godfrey Osotsi said.

The move comes after Murang'a Governor Irungu Kang'ata ‘failed’ to satisfactorily explain the whereabouts of Sh46 million.

Kang'ata appeared before the Senate oversight committee to explain audit queries on Murang’a County Education Scholarship Fund.

However, the first-term county chief found himself on the spot after the panel established that Sh46 million was 'missing'.

According to the audit report, the county declared disbursing Sh221 million to various schools in its financial statements for the period that ended June 30, 2021.

At the time, Mwangi Wairia was the governor.

However, the administration provided supporting schedules showing it disbursed Sh267 million, leaving an unexplained variance of Sh46 million.

Further, the county did not indicate the admission numbers of students to authenticate the expenditures, triggering concerns that the money could have been spent on ‘ghost’ students.

There were also no dates on when the county issued the cheques.

"Where is the Sh46 million? You cannot declare disbursement of Sh221 million in your financial statements yet on the supporting schedule, it's Sh267,” Nominated Senator Tabitha Mutinda said.

Kang'ata told the committee that he was not in office at the time, but explained that the variance of Sh46 million resulted from an under-absorption of the bursary fund.

He said while the county budgeted and intended to disburse Sh267 million, the fund was under-absorbed, leading to the Sh46 million variance.

"It was a case of under-absorption,” Kang'ata said.

The committee suspected fabrication of documents submitted to explain the query.

Kiambu Senator Karungu Thangwa said the list of students presented as beneficiaries were the same every term hence the suspicion.

"Mr chairman, I urge you to send this to EACC for investigations. There are elements of fabricated documents," he said.

But Kangata said the policy guiding the fund at the time provided that beneficiaries get bursary funds every term for the entire period they are in school.

Beneficiaries got Sh40,000 per year.

"It is not a policy I agree with because it gave very many benefits to one student," Kang'ata said.

He said he has since changed the policy to cover as many needy students as possible.

Kang'ata further said they are in the process of digitising the bursary disbursement programme to capture all beneficiaries in a database.

The committee sought an explanation on why the county disbursed bursaries when schools were closed due to the COVID-19 pandemic.

Further, the committee questioned why funds were sent to students in private schools contrary to the legislation that created the fund.

But the county boss, through his officers, denied any funds being sent to students in private schools.