Moi University is facing severe scrutiny after an audit revealed the irregular banking of student fees into a Welfare Account.
The Public Investment Committee on Governance and Education, chaired by Jack Wamboka, reviewed the findings from the Office of the Auditor General, which highlighted numerous compliance issues across various universities.
The audit report unveiled several concerns including non-compliance with the Public Procurement and Asset Disposal (PPAD) Act, 2015, irregular procurements, and non-competitive procurement practices.
Additionally, it cited stalled projects, incomplete contracts, and the failure to provide necessary tender documents for review. Unauthorized allowances, such as irregular payments for sitting allowances and salaries, were also noted.
Cheques meant for Moi University were improperly deposited into the Moi University Staff Welfare account.
“Ksh920,013,000 cash and cash equivalents captured in the consolidated statement of financial position, revealed that Ksh7,727,190 collected at the university’s Nairobi campus had not been captured while cheques payable to Moi University had been irregularly banked in the Moi University Staff Welfare account,” a statement posted on Parliament page read.
Mount Kenya University Flagged on Placement and Enrollment
On the other hand, the committee expressed concerns over the lack of supporting documentation, which hindered the auditors’ ability to verify the accuracy and completeness of the Ksh920,013,000.
This absence of documentation pointed to potentially fraudulent activities within the university, leading committee members to call for accountability from the institution’s accounting officers.
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Other universities also faced scrutiny during the committee’s review. Prof. Deogratius Jaganyi, Vice Chancellor of Mount Kenya University (MKU), was questioned about the discrepancy in student placements and enrollments.
Of the 27,164 students placed by the Kenya Universities and Colleges Central Placement Service (KUCCPS) over seven years, only 24,075 enrolled, leaving a variance of 3,089 students.
Additionally, MKU had disbursed Ksh12,080,950 to students who had already graduated and Ksh7,810,917 to students who had deferred or were on leave.
Other Universities Under scrutiny
ZETECH University, led by Vice Chancellor Prof. Njenga Munene was questioned about the placement of 9,621 students by KUCCPS, with 7,372 students enrolling.
This discrepancy of 2,249 students raised questions about the university’s capacity declarations and the funds received for non-enrolled students.
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Kenya Methodist University was also highlighted for discrepancies in student funding. The audit revealed a variance of 1,305 funded students and noted that 42 students listed in the disbursement records were not placed by KUCCPS but were declared as government sponsored.
However, Ksh3,087,704 was disbursed for students not under the Government-Sponsored Students program, and Ksh3,433,388 was overpaid due to duplicate student records.
In response, committee members demanded the immediate refund of the overpaid amounts and urged the vice chancellors to improve their audit processes and ensure timely documentation.
They also recommended measures to ensure student eligibility for payments strictly within their program duration.
This series of audits shows the need for stringent and accountability in Kenya’s higher education sector to safeguard public funds and maintain trust in educational institutions.
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