Kisii County Under Scrutiny: Auditor General Flags Misuse of Funds and Irregular Practices
The Auditor General has flagged Kisii County for suspected financial mismanagement and irregular expenditure during the 2023–2024 fiscal year. The report uncovers numerous anomalies, including unaccounted funds, irregular staff payments, and violations of procurement laws.
Unaccounted Domestic Travel Expenses
Kisii County reported spending Ksh96 million on domestic travel and refreshments, but discrepancies in the Integrated Financial Management Information System (IFMIS) revealed an actual expenditure of Ksh82.7 million. This leaves Ksh14 million unaccounted for. County officers claimed reimbursements for out-of-pocket expenses, yet audit findings show these funds were disbursed in advance, raising suspicions of graft.
Irregular Appointments and Payments
The county attorney, whose appointment was quashed by the court in January 2024, continued to draw a salary, pocketing Ksh3.38 million by August 2024. Similarly, excess payments amounting to Ksh698,000 were made to a contractor in the Department of Trade Development and Regulations without justification.
Banana Processing Plant Lease Controversy
The leasing of the Kisii Agricultural and Training Centre (KATC) banana processing plant to an investor has also raised red flags. Initially agreed at a rental fee of Ksh150,000 per month, the amount was unprocedurally reduced to Ksh90,000. Despite this adjustment, the investor has yet to remit any payments.
Bursary Allocation Irregularities
Audit findings show glaring discrepancies in bursary allocations:
- 54 students received Ksh289,000 despite lacking school admission numbers.
- Double allocations of Ksh344,000 and Ksh225,100 were made to students with identical details but listed in different wards or schools.
- Ksh20 million reportedly allocated to special needy cases had no evidence of distribution.
Questionable Infrastructure Projects
The ongoing construction of the Kisii County headquarters and the industrial and aggregation park in Bomachoge Borabu Constituency also came under scrutiny:
- Advance payments of nearly Ksh100 million were made to contractors deemed financially stable, violating the Public Procurement and Asset Disposal Act.
- Renovations costing Ksh24.9 million were made to old offices despite plans for new headquarters.
Auditor General’s Directive
The Auditor General has demanded responses from the county government to address these findings. In a letter dated December 9, 2024, County Finance Executive Kennedy Abincha was asked to provide written explanations within three days. Failure to respond would result in the report being finalized as is.
These revelations point to systemic weaknesses in Kisii County’s financial management, calling for accountability and corrective action to safeguard public funds.