Audit report shows 21 counties illegally wired Sh87.8 million to governors’ council
Gathungu further pointed out that some of the regional bodies that received millions in subscription fees from counties are not legally recognised.
Millions of taxpayers’ money was illegally diverted from county coffers to fund operations of the Council of Governors (CoG) and other unrecognised regional caucus bodies, with a new audit report revealing that 21 counties spent a total of Sh87.8 million on such payments.
The latest report by Auditor-General Nancy Gathungu shows that the payments contravened the Intergovernmental Relations Act, 2012, which states that CoG’s operational expenses should be covered in the national government’s annual budget estimates.
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Gathungu further pointed out that some of the regional bodies that received millions in subscription fees from counties are not legally recognised.
During the period under review, Nyeri County made the highest contribution, sending Sh8 million to the CoG. It was followed by Kiambu, which remitted Sh6.6 million to both the CoG and the Kenya Inter County Sports and Cultural Association (Kicosca).
Kicosca organises annual games that bring together county government employees for sporting activities aimed at fostering unity and collaboration among the 47 devolved units.
Samburu County was flagged for paying Sh3 million to the CoG and an additional Sh3.6 million in subscription fees to the Frontier Counties Development Council (FCDC), while Wajir was cited for sending Sh3.5 million to the CoG and Sh3 million to FCDC.
FCDC describes itself as a regional economic bloc bringing together counties in Kenya’s arid and semi-arid regions, including Lamu, Tana River, Garissa, Wajir, Mandera, Marsabit, Isiolo, Turkana, Samburu and West Pokot.
“The statement of receipts and payments reflects the use of goods and services amounting to Sh1,459,188,123, which includes Sh437,848,253 under other operating expenses, out of which Sh3,000,000 and Sh3,604,800 were payments for annual subscriptions to the Council of Governors and Frontier Counties Development Council, respectively,” Gathungu wrote regarding Samburu County.
The findings have raised fresh concerns about financial mismanagement in county governments, particularly the allocation of funds to entities without legal backing.
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