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15 counties face probe over Sh1.3bn bursaries rot

The committee established that most counties issued bouncing cheques.

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by JULIUS OTIENO

News12 December 2024 - 06:08
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In Summary


  • The County Public Investments and Special Funds Committee now wants the Ethics and Anti-Corruption Commission to swing into action over suspected embezzlement of public resources.
  • The Vihiga Senator Godfrey Osotsi-led committee tabled the reports after scrutinising the audit report for county bursary funds for the 2019-20, 2020-21and 2021-22 financial years.

Migori Senator Eddy Oketch, his Narok counterpart Ledama Olekina and Senate Committee on County Public Investments on September 4.ENOS TECHE

At least 15 county governments face investigations over alleged misappropriation of at least Sh1.3 billion in bursaries as senators laid bare the rot in the management of the funds.

In explosive reports tabled in the Senate, the County Public Investments and Special Funds Committee now wants the Ethics and Anti-Corruption Commission to swing into action over suspected embezzlement of public resources.

The Vihiga Senator Godfrey Osotsi-led committee tabled the reports after scrutinising the audit report for county bursary funds for the 2019-20, 2020-21and 2021-22 financial years.

The counties senators want investigated include Bomet, Bungoma, Elgeyo Marakwet, Garissa, Kericho, Kirinyaga, Lamu, Murang’a, Nandi, West Pokot, Kajiado, Machakos, Tana River, Trans Nzoia and Vihiga.

The committee observed that there were various inaccuracies and errors in the financial statements of nearly all bursary funds, raising concerns about incompetence, potentially geared towards fraudulent activities,” the report states.

The committee established that most counties issued bouncing cheques, could not confirm the money reached the intended beneficiaries while others lacked documentation to support the disbursements.

In some devolved units, officials disbursed funds to students with duplicate admission numbers, raising questions about the integrity of the process.

In others, there was simply no list of beneficiaries yet money was spent allegedly on bursaries.

In Nandi county, for instance, senators ordered the EACC to investigate circumstances under which the bursary fund managers disbursed Sh102.35 million without any supporting documents in 2021-22.

The committee recommends that the EACC conducts investigations on the unsupported bursary disbursements amounting to Sh102.35 million and provide a status update of the same to the Senate within 60 days of the adoption of this report.”

The committee indicted Governor Stephen Sang’s administration for failing to provide acknowledgment letters to support the bursary disbursements for audit review.

In Lamu, the senators want the anti-graft agency to probe Sh253.60 million meant for bursaries for needy students in 2021-22.

The EACC conducts investigations on the propriety of the amount of Sh253.60 million disbursed as scholarships and benefits during the period under review and provides a status update on the same to the Senate within 60 days from the adoption of this report.”

The county, the report states, failed to provide formal applications and other crucial documents to support the disbursement of the funds.

Further, disbursements amounting to Sh2,910,303 were awarded to students with duplicate admission numbers.

The committee wants Lamu investigated for possible loss of Sh12.10 million bursaries in 2019-20.

The situation is similar in Murang’a, where the panel wants the EACC to probe the alleged disbursement of Sh267.61 million in the 2021-22 fiscal year.

The report states the county government failed to provide schedules containing references of schools and colleges, admission numbers, cheque numbers, dates of issuance and the criteria used in the selection of students for audit review.

The committee recommends that the Ethics and Anti-Corruption Commission conducts investigations on bursary disbursements amounting to Sh267.61 million,” the report states.

In Trans Nzoia, the county officials face investigations over questionable disbursements of Sh100.47 million bursaries in 2019-20.

This is after the county failed to provide acknowledgment letters and receipts to support disbursements for audit verification.

In Tana River, the senators want EACC to investigate Sh43.98 million unsupported bursary disbursements.

The committee observed that the management failed to provide acknowledgement letters and receipts from the respective institutions to support bursary disbursements.

The application forms and payment schedules submitted for audit review to support bursary disbursement to 108 students did not contain admission numbers,” the senators established.

In Kirinyaga, the lawmakers want the EACC to investigate some Sh85.84 million reportedly disbursed by the county.

This is after the county failed to provide signed and stamped lists of beneficiaries, the ward committees’ vetting minutes and acknowledgement receipts to support the bursaries.

The committee recommends that the EACC conducts investigations on the matter and provides a status update on the same to the Senate within 60 days from the adoption of this report.”

In Kericho, the committee wants EACC to investigate how the county failed to disburse Sh80.18 million in 2021-22.

The committee recommends the EACC conducts investigations on the operations and financial management of Kericho County Bursary Fund during the financial year under review with a view of holding accountable those that may be found culpable,” the report states.

In Bungoma, the committee wants investigations into the disbursement of some Sh138.5 million doubtful bursary.

The funds were reportedly disbursed in 2021-22.

The county, the report states, failed to provide schedules in support of Sh100 million and Sh38.05 million in relation to disbursements to secondary schools and national schools respectively for audit verification.

Further, the panel wants the county to investigate over Sh13.03 million unsupported bursary disbursements in 2020-2021.

The committee observed that the management failed to provide schedules in support of Sh7.05 million and Sh4.97 million in relation to disbursements to secondary schools and National schools respectively, for audit verification,” the report states.

Kajiado county cannot account for Sh39.49 million disbursed in 2021-22 after it failed to provide supporting documentation for expenses for audit verification.

The Ethics and Anti-Corruption Commission conducts investigations on the matter and provides a status update on the same to the Senate within 60 days,” the report says.

The committee wants Vihiga, Elgeyo Marakwet, Garissa and West Pokot investigated for failing to explain disbursements amounting to Sh1 million, Sh8.18 million, Sh2.18 million and Sh82.53 million respectively.

With regard to Vihiga, “The committee recommends that the EACC conducts investigation into the possible loss of Sh1m and provides status update to the Senate within 60 days.

In West Pokot and Machakos, the committee wants the anti-corruption agency to complete the ongoing probe into alleged fraud in bursary funds.

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