Universities Questioned Over Millions Spent on Failed Systems, Tribal Hirings and Cars

The National Assembly, through the Committee on Public Investments on Governance and Education, has raised concerns about widespread mismanagement in public universities and tertiary institutions.

The Committee, chaired by Bumula MP Jack Wanami Wamboka, stated that the mismanagement in these learning institutions includes failed Enterprise Resource Planning (ERP) implementations, financial irregularities, and biased hiring practices.

Vice Chancellors and Principals were asked to explain how hundreds of millions in taxpayer funds were spent on ERP systems that have failed to provide value for money.

The committee noted that most institutions struggled with complex integration issues and data migrations due to insufficient expert oversight and poor vendor selection.

The Commission for University Education (CUE) awarded a Kshs.45.7 million contract for an Integrated Management Information System in 2018.

Ksh30.5 million had already been paid by the time of the audit, yet no clear completion date or comprehensive implementation reports were provided.

The Committee noted this breaches Regulation 137 of the Public Procurement and Asset Disposal Regulations, 2020.

Furthermore, a discrepancy of Ksh2.5 million was found in a mortgage and car loan scheme fund, with no documentation to justify the creation, operations, or transactions of the scheme.

CUE also failed to remit 90% of its surplus Ksh80 million as required by the Public Finance Management Regulations, 2015, placing its management in violation of the law.

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Tribal Hiring in Universities 

Meanwhile, Kibabii University faced scrutiny over a lack of ethnic diversity in hiring.

Of 430 staff members, an alarming 75% came from the same ethnic community.

The university also violated fiscal regulations by spending 64% of its revenue on salaries, nearly double the legal ceiling of 35%.

The committee demanded immediate actions to align staffing policies with national cohesion goals and financial prudence.

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Questionable Payroll Records

Meru National Polytechnic was questioned regarding questionable payroll records.

The Auditor General flagged multiple irregularities, including missing or duplicate KRA PINs, dubious birth dates, and 143 questionable employment contracts.

The ERP system failed to regularize payroll deductions as per the law, and management was accused of neglecting to act on the audit’s recommendations.

Construction works at the institution were also plagued by unauthorized changes and slow progress.

The MPs warned of potential surcharges for principals who violate procurement laws.

Commitee Sends Away Kisii Polytechnic

Wamboka emphasized the committee’s commitment to ensuring transparency, accountability, and equitable service delivery in the education sector.

Kisii National Polytechnic, Kenya School of Law, and the Council of Legal Education were turned away by the committee for failing to comply with the audit process and not appearing with all responsible officers.

They have been summoned to return at a later date.

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