MPs ask Treasury to retrain accounting staff

PAC chair John Mbadi said committee noted below par accounting practices.

In Summary
  • The committee further urged the Institute of Certified Public Accountants of Kenya (ICPAK) and other professional bodies to enforce adherence to standards.
  • Committee chair John Mbadi expressed concern that a State department would have inaccurate financial statements yet it has qualified accountants.
Public Accounts Committee chairman John Mbadi
Public Accounts Committee chairman John Mbadi
Image: FILE

The Public Accounts Committee has urged the National Treasury to offer refresher courses to its accounting officers.

The watchdog committee said the programmes should focus on their roles during the audit cycle and ensure adherence to the International Public Sector Accounting Standards (IPSAS).

The committee further urged the Institute of Certified Public Accountants of Kenya (ICPAK) and other professional bodies to enforce adherence to standards and impose sanctions on officers who fail to comply.

The committee made the recommendation in a report on the financial statements of National Government Ministries, Departments, and Agencies for the Financial Year 2020/2021, which was adopted by the House on Thursday.

Committee chair John Mbadi expressed concern that a State department would have inaccurate financial statements yet it has qualified accountants.

He said the committee noted below par accounting practices and lack of capacity within certain accounting units across various ministries, state departments, and agencies.

“The committee found that despite all accounting units being staffed by qualified accountants and procurement officers, non-compliance with the various provisions of laws was there, pointing to incompetence or resistance,” Mbadi said.

“You find the laws are there, you have competent staffs based on their academic qualifications, professional background and even experience in terms of the number of years, but still violation of laws is common,” he stated.

Mbadi pointed out that there was recurrent unresolved audit and accounting issues despite previous calls for action or intervention by the House.

“By the time we get to the next cycle, the same is repeated again and again, without any action,” he decried.

The report has recommended specific follow up actions including further investigations by the investigative authorities, mostly by Ethics and Anti-Corruption Commission (EACC) as a number of issues raised constitute economic crimes.

“It is my hope that these recommendations, which are contrary to what we have seen previously, will be implemented within the shortest time possible by all those who are concerned, while taking into consideration public interest above everything else,” he said.

The primary mandate of PAC is to examine the accounts showing the appropriations of the sum voted by the House to meet the public expenditure and of such other accounts laid before the House for Ministries, Departments and Agencies (MDAs), Commissions, and Independent Offices.

WATCH: The latest videos from the Star