The Auditor-General’s adverse opinion for Kiambu Constituency’s National Government Constituencies Development Fund (NGCDF) for the financial year ending June 30, 2024, highlights significant and widespread misstatements in financial records, a downgrade from the qualified opinion of 2022-2023. The total questionable spending, including unsupported expenditures, irregular procurements, and unverified assets, amounts to approximately KSh 122 million, based on audit findings.
The audit identified multiple issues. Bursary disbursements totaling KSh 21 million were problematic, with KSh 17.8 million lacking documentation like acknowledgement letters, KSh 1.2 million awarded to tertiary students without admission numbers, and KSh 2.2 million misclassified (tertiary funds recorded as secondary school payments). Expenses of KSh 14.2 million showed inconsistencies, with payee descriptions in ledgers not matching payment vouchers, cash books, or bank statements.
Unsupported expenditures totaled KSh 7.9 million, including KSh 313,000 in committee expenses, KSh 5.6 million in irregular cash use for goods and services (also misclassified as domestic travel), and KSh 2 million on a sports project without documentation. Procurement irregularities amounted to KSh 69.2 million, including a direct award of KSh 11.9 million for bursary payments to short courses, violating procurement thresholds, and KSh 57.3 million for primary and secondary school projects.
Banking issues included Project Management Committee (PMC) account balances of KSh 31.4 million unsupported by cashbooks, bank confirmations, or reconciliations, with these unutilized funds not transferred to the main NGCDF account as required by law. The fund lacked a fixed asset register, leaving KSh 64.4 million in reported assets unverifiable. Additional concerns included KSh 301,000 in stale cheques not reversed, staff employment without due process, and no approved training plan for related expenses.
Other constituencies, such as Dagoretti South, received a disclaimer opinion due to severe issues, but details on constituencies like Mbeere South and Samburu East were not confirmed in available reports. The constituency fund is managed by the area MP, John Machua. These findings highlight the urgent need for stronger accountability to ensure taxpayer funds benefit their intended communities.
You can download the auditor general report at https://www.oagkenya.go.ke/2023-2024-constituency-development-fund-audit-reports/